A Firm with a Low Rating from the Bond-Rating Agencies

question 60

Multiple Choice

A firm with a low rating from the bond-rating agencies would have

• A) a low times-interest-earned ratio.
• B) a low debt-to-equity ratio.
• C) a low quick ratio.
• D) a low debt-to-equity ratio and a low quick ratio.
• E) a low times-interest-earned ratio and a low quick ratio.

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Definitions:

Self-leadership

Involves individuals taking control of their own behavior and decisions to achieve predetermined goals, emphasizing personal accountability and self-direction.

Situation

A situation refers to a set of circumstances or the context in which events occur, affecting the outcome of decisions or actions.

Job Evaluation

A systematic process for assessing the relative worth of jobs within an organization to establish fair pay scales.

Conscientiousness

A personality trait characterized by diligence, carefulness, and a desire to do a task well.