1. Why should managers and or/analyst add a premium to the WACC when determining discount or hurdle rates or minimum desired rates of return.
2. What are the major reasons given for companies avoiding reductions or cuts to regular dividends?
3. DEVELOP ALTERNATIVES: Equate to strategy types corporate/business in regards to Southwest Airlines
Boston Consulting Group Matrix-Build/hold/harvest/divest
4. If management is maximizing the firm's net income, they are also maximizing the firm's earnings per share and stock price
True or false?