Answer:
Option B,
The higher the degree of financial leverage employed by a firm, THE HIGHER THE PROBABILITY THAT THE FIRM WILL ENCOUNTER FINANCIAL DISTRESS.
Explanation:
The degree of financial leverage (DFL) is a leverage ratio that measures the sensitivity of a company's earnings per share to fluctuations in it's operating income, as a result of changes in its capital structure.
This ratio indicates that the higher the degree of financial leverage, the more volatile earnings will be.
The use of financial leverage varies greatly by industry and by the business sector. There are many industry sectors in which companies operate with a high degree of financial leverage (examples are retail stores, grocery store, banking institutions, airlines...). Unfortunately, the excessive use of financial leverage by many companies in this sector has played a major role in forcing a lot of them to file for bankruptcy.
Therefore, if the degree of financial leverage employed by a firm is high, then the probability that the firm will encounter financial distress will also be high.
Answer:
Bt Bicoins este o moneda virtuala care valorează extrem de mult, nu, nu este ilegal sa ai un bit coin
Answer:
It is something that requires a lot of work
Explanation:
It i sthis answer because it need a lot of people to do it because it is a lot work because it is a big projector / problem
Answer:
The correct answer is option D.
Explanation:
Because of recession the government wants to increase output.
The increase in government spending is equal to $250.
The size of the money multiplier is 3.
The increase in output will be
=
=250\ \times\ 3
=750
So, the correct answer is option D.
