If the Firm's Rate of Return on Its Assets Is

question 2

Multiple Choice

If the firm's rate of return on its assets is _____ than the cost of borrowing, then the owners' rate of return on equity will _____ as the firm uses _____ debt

• A) greater, increase, less
• B) greater, decrease, more
• C) greater, increase, more
• D) less, increase, more

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Definitions:

Renal Capsule

The renal capsule is a tough fibrous layer surrounding the kidney and providing it with protection against trauma and infection.

Renal Calyx

A structure in the kidney that funnels urine from the collecting ducts into the renal pelvis and ureter.

Renal Column

Cortical tissue located between the pyramids in the kidney, part of the kidney's supportive and structural system.

Renal Pyramid

Cone-shaped structures located in the kidneys, consisting of tubules that transport urine from the cortical, outer part of the kidney to the calyces and renal pelvis.