Which of the Following Statements About Values Is True

question 5

Multiple Choice

Which of the following statements about values is true?

• A)Values impact the individual,but not how they work.
• B)Values are not very stable;they change over short periods of time.
• C)Values affect the decisions people make,but have little impact on their behavior.
• D)Values are developed early in life and remain stable over a lifetime.

---

Definitions:

Indirect Bankruptcy Costs

Costs associated with bankruptcy that do not involve direct cash payments, such as damage to a company's reputation or loss of customers.

Optimal Capital Structure

The most favorable mix of debt and equity financing that minimizes the cost of capital and maximizes the value of the firm.