Which of the Following Statements Is FALSE

question 108

Multiple Choice

Which of the following statements is FALSE?

• A)The relative proportions of debt, equity and other securities that a firm has outstanding constitute its capital structure.
• B)The most common choices are financing through equity alone and financing through a combination of debt and equity.
• C)When corporations raise funds from outside investors, they must choose which type of security to issue.
• D)The project's net present value (NPV)represents the value to the new investors of the firm created by the project.

---

Definitions:

Management Goals

The objectives or targets that management aims to achieve to fulfill the organization's mission and vision.

Goal Clarity

The degree to which the objectives or targets to be achieved are clearly defined, understood, and measurable, contributing to effective planning and execution.

Goal Difficulty

the extent to which a goal is challenging and requires effort to achieve, often influencing motivation and performance outcomes.

Goal-Setting Process

A systematic approach to setting objectives that are specific, measurable, achievable, relevant, and time-bound (SMART) to improve performance and motivation.