Answer Choices:
a. The two companies have the same times interest earned (TIE) ratio.
b. Firm L has a lower ROA than Firm U.
c. Firm L has a lower ROE than Firm U.
d. Firm L has the higher times interest earned (TIE) ratio.
e. Firm L has a higher EBIT than Firm U.
Answer: b. Firm L has a lower ROA than Firm U.
Question: Which organ triggers all the primarily developing cells and damaged red blood cells (referred to as “the blood bag graveyard”)?
Answer Choices:
Peyer’s patches
palatine tonsils
spleen
thymus
Answer: spleen
Question: The skin and mucous membranes comprise the body’s ______ line of defense.
Answer Choices:
first
fourth
second
third
Answer: first
Question: Which type of immune response involves the body responding to its own cells as harmful?
Answer Choices:
Hypersensitivities
Allergy
Autoimmunity
Isoimmunity
Answer: Autoimmunity
Question: Which type of immune response involves the body responding to its own cells as harmful?
Answer Choices:
Innate
Adaptive
Answer: Innate
Question: Modigliani and Miller’s first article led to the conclusion that capital structure is “irrelevant” because it has no effect on a firm’s value.
Answer Choices:
True
False
Answer: True
Question: The pituitary gland hangs from a stalk called the ______.
Answer Choices:
infundibulum
hypothalamus
pineal system
hyperthalamus
cortex
Answer: infundibulum
Question: Which of the following constitutes participating to form semen?
Answer Choices:
testes
bulbourethral gland
prostate gland
all of these
Answer: all of these
Question: Your firm is currently 100% equity financed. The CFO is considering a recapitalization plan under which the firm would issue long-term debt with an after-tax yield of 9% and use the proceeds to repurchase some of its common stock. The recapitalization would not change the company’s total investor-supplied capital, the size of the firm (i.e., total assets), and it would not affect the firm’s return on investors’ capital (ROIC), which is 15%. The CFO believes that this recapitalization would reduce the firm’s WACC and increase its stock price. Which of the following would be likely to occur if the company goes ahead with the recapitalization plan?
Answer Choices:
a. The company’s net income would increase.
b. The company’s earnings per share would decline.
c. The company’s cost of equity would increase.
d. The company’s ROA would increase.
e. The company’s ROE would decline.
Answer: c. The company’s cost of equity would increase.
Question: The hypophyseal portal system is a structure for which gland?
Answer Choices:
pineal
thyroid
pituitary
adrenal
Answer: pituitary
Question: Companies HD and LD have identical tax rates, total assets, total investor-supplied capital, and returns on investors’ capital (ROIC), and their ROICs exceed their after-tax costs of debt, r(1 – T). However, Company HD has a higher debt ratio and more interest expenses than Company LD. Which of the following statements is CORRECT?
Answer Choices:
a. Company HD has a higher net income than Company LD.
b. Company HD has a lower ROA than Company LD.
c. Company HD has a lower ROE than Company LD.
d. The two companies have the same ROA.
e. The two companies have the same ROE.
Answer: b. Company HD has a lower ROA than Company LD.
Question: The pituitary gland is located where?
Answer Choices:
on the tongue
in the medulla
behind the stomach
behind the brain
above the kidneys
Answer: behind the brain
Question: What is the function of major histocompatibility complex proteins?
Answer Choices:
They help the immune system to localize the inflammatory response.
They reduce toxins.
None of these
They mark cells as “self.”
Answer: They mark cells as “self.”
Question: Which of the following is a systemic disease of the kidneys, heart, lungs, and skin?
Answer Choices:
diabetes mellitus
lupus erythematosus
Cystic fibrosis
respiratory syncytial virus
Answer: lupus erythematosus
Question: Which type of cell engulfs phagocytic chemicals that puncture holes in the “food” lysin?
Answer Choices:
eosinophils
phagocytes
NK cells or killer cells
histamine
Answer: NK cells or killer cells
Question: The thymus gland lies in the _______.
Answer Choices:
neck and shoulders
between heart and sternum
groins and armpits
behind the stomach
Answer: between heart and sternum
Question: Which of the following secretes releasing and inhibiting hormones which regulate the anterior pituitary’s release of hormones?
Answer Choices:
none of these
anterior pituitary
hypothalamus
posterior pituitary
Answer: hypothalamus
Question: The highly coiled tubes where sperm are made are called ______.
Answer Choices:
vasa deferentia
epididymis tubules
arteries
urethra
Answer: epididymis tubules
Question: Which of the following is NOT a first-degree barrier?
Answer Choices:
are normally acidic
the features that house the glands, etc.
is relatively cool during fevers
is normally contains 20-25% oxygen (O2) per liter
Answer: is normally acidic
Question: A major contribution of the Miller model is that it demonstrates, other things held constant, that
Answer Choices:
a. personal taxes increase the value of using corporate debt.
b. personal taxes lower the value of using corporate debt.
c. personal taxes have no effect on the value of using corporate debt.
d. financial distress and agency costs reduce the value of using corporate debt.
e. debt costs increase with financial leverage.
Answer: b. personal taxes lower the value of using corporate debt.
Question: Which type of immunity is received when you receive a vaccination?
Answer Choices:
artificially acquired passive
naturally acquired active
artificially acquired active
Answer: artificially acquired active
Question: Antimicrobial proteins that prevent a virus from reproducing are called ______.
Answer Choices:
interferon
complement proteins
erythrocyte
penicillin
Answer: interferon