The Most Visible Consequence of Inflation Is

question 105

Multiple Choice

The most visible consequence of inflation is

• A)A rise in employment.
• B)A rise in production.
• C)A rise in the price level.
• D)A change in government regulation.

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Definitions:

Net Income

The profit of a company after all expenses, taxes, and costs have been subtracted from total revenue.

Internal Growth Rate

The maximum growth rate a firm can achieve without resorting to external financing.

Sustainable Growth Rate

The maximum rate at which a company can grow its sales, earnings, and dividends without increasing its financial leverage.

Debt to Equity Ratio

The ratio showing the variance in financing methods between debt and equity for a company’s assets.