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1. In 2006 Hewlett-Packard repurchased shares of common stock worth $5,355 million and made dividend payments of $932 million. Other financing activities raised $291 million, and Hewlett-Packard's total cash flow from financing was –$6,305 million. How much did the long-term debt accounts of Hewlett-Packard change?

Increased $309 million

Decreased $309 million

Increased $950 million

Decreased $950 million

2. A firm has a P/E ratio of 33 and an ROE of 9%. Its market-to-book-value ratio is _________.

2.97

3.67

2.43

1.23

Financial Management, Finance

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