This topic contains a solution. Click here to go to the answer

Author Question: Why do corporations want to keep the price of their stock high? A) Corporations can pay their ... (Read 120 times)

evelyn o bentley

  • Hero Member
  • *****
  • Posts: 564
Why do corporations want to keep the price of their stock high?
 
  A) Corporations can pay their managers lower salaries and avoid principal-agent problems when stock prices are higher.
  B) A higher stock price increases the funds the firm can raise when it sells a given amount of stock.
  C) Higher stock prices are correlated with lower expected profitability.
  D) All of the above provide incentive for corporations to keep the price of their stock high.

Question 2

An increase in liabilities will reduce a firm's net worth.
 
  Indicate whether the statement is true or false

Question 3

What is the difference between explicit and implicit costs?
 
  What will be an ideal response?

Question 4

When groups of mortgages are bundled together by financial institutions and sold to investors, these institutions are said to be ________ mortgage loans.
 
  A) liquidating B) underwriting C) securitizing D) harvesting

Question 5

How is accounting profit calculated?
 
  What will be an ideal response?


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

DylanD1323

  • Sr. Member
  • ****
  • Posts: 314
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
Answer Preview
Only 39% of students answer this correctly




DylanD1323

  • Sr. Member
  • ****
  • Posts: 314

 

Did you know?

The average adult has about 21 square feet of skin.

Did you know?

The term bacteria was devised in the 19th century by German biologist Ferdinand Cohn. He based it on the Greek word "bakterion" meaning a small rod or staff. Cohn is considered to be the father of modern bacteriology.

Did you know?

Although the Roman numeral for the number 4 has always been taught to have been "IV," according to historians, the ancient Romans probably used "IIII" most of the time. This is partially backed up by the fact that early grandfather clocks displayed IIII for the number 4 instead of IV. Early clockmakers apparently thought that the IIII balanced out the VIII (used for the number 8) on the clock face and that it just looked better.

Did you know?

Patients should never assume they are being given the appropriate drugs. They should make sure they know which drugs are being prescribed, and always double-check that the drugs received match the prescription.

Did you know?

Patients who cannot swallow may receive nutrition via a parenteral route—usually, a catheter is inserted through the chest into a large vein going into the heart.

For a complete list of videos, visit our video library