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6 FIN-650 Topic 4: Risk Manage X MindTap - Cengage Learning C 2% ng.cengage.com/staticb/ui/evo/index.html?deploymentld=59326318850061742070263242( To exit full screen, press and hold esc snapshotld=4679950 Relaunch to update : Candace CENGAGE | MINDTAP Q Search this course ? Midterm X A HOME Test: Midterm Time Remaining: 1:26:19 PROFILE Save Submit Test for Grading A-Z ORDERS Questions MC. 13.024 Question 2 of 30 1. W RENTALS 2 . O EI COURSES 3. Which one of the following statements is TRUE? a. When lenders protect themselves from the risk of asset switching by raising the interest rate, the firm's WACC can decrease. 4, O O b. A lender calling in a corporate loan and then lending the funds out to a safer borrower is an example of asset switching N 5. O O c. A corporate golf club membership is an example of a nonpecuniary benefit. 6. O Study Tools O d. Firms borrowing money have greater flexibility to use that money when there are debt covenants. 7. O e. A supplier substituting a lower-quality raw material without approval is an example of asset switching. College Success Tips 8, O 9. O Career Success Tips 10. O 11. O ? Help 12. O 13. O At [ SIGN OUT 14. O 15. O 16. DO- Icon Key 17. MC.13.024 Question 2 of 30 Save Submit Test for Grading