With Regard to Wanting Children and the Value of Parenthood

question 72

Multiple Choice

With regard to wanting children and the value of parenthood, which of the following statements is true?

• A)About three-fourths of youths want children and value the parental role over the role of spouse.
• B)Less than half of youths want children and value the role of spouse over the role of parent.
• C)95 percent of youths want children but only after they establish a successful marriage.
• D)The desire for children has dropped to less than a quarter of youth-they are just too expensive.

---

Definitions:

WACC

The calculation used by firms to evaluate the cost of their financing and investments, taking into account the weighted proportions of each source of capital, including equity and debt.

WACC

Weighted Average Cost of Capital, a calculation of a firm's cost of capital in which each category of capital is proportionately weighted.

Capital Budgeting

The process of evaluating and selecting long-term investments that are consistent with the firm's goal of wealth maximization.

After-Tax Cost

The net cost of a transaction or investment after the effects of taxes are considered, often used in analyzing the cost of financing options.