Using More Debt Can Increase the Owner's Return on Equity

question 51

True/False

Using more debt can increase the owner's return on equity but it also increases risk.

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Definitions:

Nondefensively

Refers to responding to feedback, criticism, or disagreements without being defensive, openly considering others' viewpoints.

Assertive

Characterized by confidence and self-assurance in asserting opinions, needs, or rights, often in a respectful and non-confrontational manner.

Nondefensive Communication

A communication style in which individuals express their thoughts, feelings, and needs openly and honestly without becoming defensive or aggressive.

Intra-Company

Pertaining to activities or transactions occurring within the same company, often involving different departments or divisions.