Question: The Higgins 5-Factor Model identifies five ways in which company financing can affect operating income. True or False Financial Leverage increases expected ROE and ROI

The Higgins 5-Factor Model identifies five ways in which company financing can affect operating income. True or False Financial Leverage increases expected ROE and ROI as well as their variability. True or False The perpetual growth equation states that: If the perpetual growth assumption is correct, the cost of equity capital equals the company's dividend yield plus the growth rate in dividends. True of False The Internal Rate of Return is the discount rate at which an investment's NPV equals zero. True or False

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