6. If a firm produces a 12% return on assets and also a 12% return on equity, then the firm: A. Has no debt of any kind. B. Is using its assets as efficiently as possible. C. Has no net working capital. D. Also has a current ratio of 10. E. Has an equity multiplier of 2. F. None of these

With signals from no-claim bonuses and deductibles, a. the marginal cost curve for careful drivers lies to the left of the marginal cost curve for aggressive drivers b. auto insurance companies insure more aggressive drivers than careful drivers because aggressive drivers have a greater need for the insurance c. the market for car insurance has a separating equilibrium, and the market is efficient d. most drivers pay higher premiums than if the market had no signals