Question: Select only the statement that are true: ( 2 ) A . When dealing with very complex issues, models are often used to simplify thesituation

Select only the statement that are true: (2)A. When dealing with very complex issues, models are often used to simplify thesituation by focusing on a few essential variables.B. Earnings per share can be calculated by dividing the total earnings available tothe company`s stockholders by the number of common stock outstanding.C. None of the other statements/options is correct.D. The higher the risk associated with a project or a corporation the lower therequired expected return by investors would be.5. Select only one of the five options below. Thabo owns a motor car. The lifecycle cost includes: (2)A. The cost of putting petrol into the car from time to time.B. The purchasing price of the car.C. The cost of replacing the cars tyres every few thousand kilometres.D. The cost of maintaining the car (taking it for services).E. All the statements are correct.6. Select only the statement that are true: (2)A. None of the other statements/options is correct.B. The minimum acceptable rate of return (MARR) for a project is usually less thanthe companys cost of capital.C. Companies (and governments) with high levels of debt are considered riskier bylenders and they usually demand higher interest rates from them.D. If the income of companies with high levels of debt is affected by events such asnatural disasters and lockdowns due to Covid-19, then they are less likely to payinterest on loans and repay debt (compared to companies with much lower levels of Debt

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