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Q. |
A critical assumption of the net operating income (NOI) approach to valuation is: |
A. | that debt and equity levels remain unchanged. |
B. | that dividends increase at a constant rate. |
C. | that ko remains constant regardless of changes in leverage. |
D. | that interest expense and taxes are included in the calculation. |
Answer» C. that ko remains constant regardless of changes in leverage. |
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