Examlex
Which of the following statements is TRUE?
Debt-equity Ratio
A calculation showing how much a firm relies on borrowed funds, determined by dividing the sum of its obligations by the equity of its shareholders.
Pre-tax Cost
The cost of an investment or expense before any taxes are applied, often considered when evaluating investment options.
Cost of Equity
The presumed income given to a firm's equity investors to reimburse them for the risk undertaken with their investment.
Yield-to-maturity
The total return anticipated on a bond if it is held until the end of its lifetime, taking into account both current income and principal repayment.
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