Which One of the Following Is an Important Fundamental Assumption

question 30

Multiple Choice

Which one of the following is an important fundamental assumption underlying the plate tectonic theory?

• A) Earth's magnetic field originates in the outer core.
• B) Earth's diameter has been essentially constant over time.
• C) Radioactive decay slows down at the extreme pressures of the inner core.
• D) Earth's ocean basins are very old and stable features.

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Definitions:

Price-Earnings Ratio

A financial metric that evaluates the market value of a stock relative to its earnings, indicating investor expectations.

Market Price

The current value at which an asset or service can be bought or sold.

Earnings Per Share

A company's profit divided by the outstanding shares of its common stock, indicating the company's profitability.

Dividends Per Share

A financial ratio that shows how much a company pays out in dividends each year relative to its stock price.