Which of the Following Statements Is FALSE

question 11

Multiple Choice

Which of the following statements is FALSE?

• A)Under the Modigliani-Miller assumptions of perfect capital markets,the amount of inventory is irrelevant.
• B)Unlike trade credit,inventory represents one of the required factors of production.
• C)It is the firm's financial manager who must arrange for the financing necessary to support the firm's inventory policy and who is responsible for ensuring the firm's overall profitability.
• D)Inventory management receives extensive coverage in courses on operations management.

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Definitions:

Sustainability Efforts

Initiatives aimed at maintaining ecological balance and reducing environmental impact through responsible practices.

Political Barriers

Refers to government-imposed restrictions that affect international trade and investment.

Philanthropic

Pertaining to the act of donating money, goods, time, or effort to support a charitable cause, often without expecting anything in return.

Legal

Pertains to the system of rules that are created and enforced through social or governmental institutions to regulate behavior, ensuring equity, justice, and fairness in society.