Question
please answer question 14 and 15 and 16 and 17
please answer the 4 questions not just one question
12. The mix of fi nancing which produces the lowest cost of capital is the a. optimal capital structure b. capital budget c. mix which uses the least debt d. use of retained earnings weighted average cost of capital is the average before-tax cost of funds available to finance investment by the firm. a. True b. False 14, Fred Flintstone has an opportunity cost of 9%. Based solely on this interest rate, which of the following is the better choice for Mr. Flintstone? a. Receiving $50 today b. Receiving $54 one year from today 15. Maxwell Corporation's Board of Directors recently declared a $2 quarterly dividend The Board set the payment date as Friday, August 31, 2018, and the record date as Wednesday, August 15, 2018. What is the ex-dividend date? a. Friday, August 10 b. Monday, August 13 c. Tuesday, August 14 d. Tuesday, August 28 16. Compared to companies following an aggressive working capital policy, a company following a conservative working capital policy will have a. greater flexibility b. greater costs C. higher profitability d. more risk 17. A large increase in a company's cash relative to other assets will result in an decrease in the company's profitability a. True b. False
Explanation / Answer
14) a) Recieving $50 today
15) c) Tuesday, August 14
16) c) Higher Profitability
17) b) False
