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harina [27]
3 years ago
15

The more conservative a firm's management is, the higher its total debt to total capital ratio [measured as (Short-term debt Lon

g-term debt)/(Debt Preferred stock Common equity)] is likely to be. a. True b. False
Business
1 answer:
PtichkaEL [24]3 years ago
8 0

Answer:

False

Explanation:

The conservative approach is that the firm has greater level of working capital investment than the competitor or industry average. So to fund the higher level of working capital the company has a set of policy and targets related to the level of debt level which means the company will not be willing to borrow further money if their borrowing exceeds the set limit or benchmark. They might use the equity instruments (Preferred stock or Common equity) to fund the higher level of working capital.

So their no absolute argument whether the denominator will increase or the nominator will increase in the Total debt to capital ratio. Hence the statement is false.

You might be interested in
For a firm in a perfectly competitive​ market, price is
Zigmanuir [339]

Answer:

The correct answer is D. equal to both average revenue and marginal revenue.

Explanation:

A perfectly competitive market or market of perfect competition is that market in which two characteristics are fulfilled:

1) there is a large number of buyers and sellers in such a way that the influence they individually exert on prices is negligible;

2) the goods or services that are exchanged are the same. [Supply and demand] Perfect competition is the situation of a market where companies lack the power to manipulate the price (price-acceptors), and there is a maximization of well-being.

This results in an ideal situation of the goods and services markets, where the interaction of supply and demand determines the price. A perfectly competitive market has the following characteristics: There are many buyers and sellers in the market. The goods offered by different vendors are largely identical. Companies can freely enter and exit the market.

8 0
3 years ago
A manager needs to inform employees that the quarterly project management training will start on May 1, about two months from no
In-s [12.5K]

Answer: In this particular case where the manager needs to inform about the employees quarterly project management, it would be better to inform them<u><em> face-to-face</em></u>. Since , it'll help the manager to provide a better insight to the project management training.

<u><em>Therefore, the correct option in this case is (a)</em></u>

6 0
3 years ago
Read 2 more answers
Consider the following year-end information for Spitzer Corporation: Cost of goods sold $420,000 Sales revenue 800,000 Nonoperat
gayaneshka [121]

Answer:

$210,000

Explanation:

operating income or EBIT = net sales revenue - cost of goods sold - operating expenses

in this case:

EBIT = $800,000 - $420,000 - $170,000 = $210,000

net income = EBIT - non-operating expenses - income taxes = $210,000 - $10,000 - $80,000 = $120,000

6 0
3 years ago
"PIOs need to have a complete understanding of the community’s demographics in order to: A. Identify all the news media covering
solniwko [45]

Answer:

D

Explanation:

A public informant officer is also known as a public relations manager or public affairs specialists. They are those who are responsible for preparing information for the media by writing press releases, arranging interviews with news sources, drafting executive speeches and sponsoring events for publicity.

People from different demographics can be targeted using different media channels as not one source will appeal to everyone. For example, the elderly population would frequently read newspapers whereas teenagers are likely to react more to information reached through social media. At the same time, it is important to know the demographics, as not to cause any offense to anyone. For example, those from different ethnicities and race may react differently to certain information. While one person finds it interesting, another person may be aggravated and find offense in it.

4 0
3 years ago
a planning bill of materials is most likely used in which mpc environment? a. make-to-stock b. assemble-to-order c. make-to-orde
katrin2010 [14]

A planning bill of materials is most likely used in "assemble-to-order" mpc environment.

According to the corporate production approach known as "assembly-to-order," customers' orders for items are swiftly manufactured and, to some extent, customized. Typically, it calls for the basic product components to be manufactured but unassembled. The parts are swiftly put together after receiving an order, and the finished item is then delivered to the client.

The assemble-to-order strategy (ATO) is a combination of the make-to-stock (MTS) and the make-to-order (MTO) strategies (MTO). Making all of the product in advance is known as a "make-to-stock" technique. The goal is to create an inventory that satisfies current or projected consumer demand. This strategy would involve deciding on a production level, stockpiling items, and then making an effort to sell as many assembled products as you can.

Learn more about Assemble-to-order, here

brainly.com/question/15113593

#SPJ4

6 0
1 year ago
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