What Effect Will Transaction (A)have on the Net Profit Margin

question 120

Multiple Choice

What effect will transaction (a) have on the net profit margin and debt-to-assets ratios?

• A)Net profit margin will increase and debt-to-assets will decrease.
• B)Net profit margin will decrease and debt-to-assets will increase.
• C)Both ratios will decrease.
• D)Both ratios will increase.

---

Definitions:

Ida B Wells

An African American journalist, abolitionist, and feminist who led an anti-lynching crusade in the United States during the 1890s.

Lynching

The illegal execution of an individual by a mob, often by hanging, without a legal trial, historically common in the United States as a form of racial terror against African Americans.

Memphis

A city in the southwestern part of the U.S. state of Tennessee, significant for its historical and cultural contributions.

Progressive State Politics

A political stance or movement emphasizing social reform, democratisation, and efforts to mitigate the effects of inequality and ensure the welfare of citizens through state intervention.