Use the Following Two Statements to Answer This Question: I

question 39

Multiple Choice

Use the following two statements to answer this question: I. A market is a collection of buyers and sellers that, through actual or potential interactions, determine the price for a product or set of products.
II) An industry is a collection of markets for similar or closely related products.

• A) Both I and II are true.
• B) I is true, and II is false.
• C) I is false, and II is true.
• D) Both I and II are false.

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Definitions:

Debt-equity Ratio

A measure representing the balanced usage of debt and shareholders' equity in funding company assets.

Profit Margin

A financial metric indicating the percentage of revenue that exceeds the cost of goods sold, showcasing efficiency in managing expenses versus income.

Growth Determinant

Factors that contribute to the economic expansion of a country, region, or industry, impacting productivity and development.

Cash Coverage Ratio

Cash coverage ratio is a financial metric that measures a company’s ability to pay its debt obligations with its operating cash flow.