Which of the Following Statements Is FALSE

question 40

Multiple Choice

Which of the following statements is FALSE?

• A)A serious concern for large corporations is that managers may make large,unprofitable investments.
• B)While overspending on personal perks may be a problem for large firms,these costs are likely to be small relative to the overall value of the firm.
• C)Some financial economists explain a manager's willingness to engage in negative-NPV investments as empire building.
• D)While ownership is often diluted for small,young firms,ownership typically becomes concentrated over time as a firm grows.

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Definitions:

Neuroticism

A personality trait characterized by sadness, moodiness, and emotional instability.

Moody

Characterized by frequent changes in mood or temperament, often displaying happiness, sadness, irritability, or anger with little or no apparent reason.

Anxious

Experiencing worry, unease, or nervousness, typically about an imminent event or something with an uncertain outcome.

Stages Of Development

Distinct phases in the life cycle of an organism or among the sequential changes during the development of an organism or a society.