In Examining the Question as to Whether or Not Capital

question 95

Multiple Choice

In examining the question as to whether or not capital structures are randomly selected,we generally find that:

• A) capital structures show strong industry patterns.
• B) within industries, the most profitable companies borrow the least.
• C) corporate and personal income taxes influence capital structures, but taxes alone cannot explain differences in leverage across firms, industries or countries.
• D) shareholders consider leverage-increasing events to be "good news" and leverage-decreasing events to be "bad news."
• E) All of the above

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Definitions:

Gender Roles

Social and behavioral norms that are considered appropriate for individuals of a specific sex in the context of a specific culture, which influence how people behave and interact.

Sex

Typically refers to sexual anatomy and sexual behavior.

Physiology

Physiology is the scientific study of the functions and mechanisms in a living system, including the processes by which the body or its parts function.

Androgens

Male hormones.