Which of the Following Statements About the Development of Political

question 96

Multiple Choice

Which of the following statements about the development of political parties is accurate?

• A) Many of the leading figures, such as Benjamin Franklin, George Washington, and Thomas Jefferson, were strong supporters of political parties.
• B) The party system has changed in important ways over the years as political entrepreneurs have adapted parties to new purposes and opportunities.
• C) The Constitution strongly discourages the creation and maintenance of political parties.
• D) James Madison argued that parties were critical elements of republican government because they would identify important interests.

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Definitions:

Cash Flow Projections

Estimates of the amount of money expected to flow in and out of a business over a certain period.

Discount Rate

This is the rate used during discounted cash flow analysis for evaluating the present value of cash flows anticipated in the future.

Financial Break-even Point

It is the level of revenue necessary to cover a company’s fixed and variable costs, without generating profit or loss.

Degree of Operating Leverage

A financial metric that measures the sensitivity of a company's operating income to changes in its sales, highlighting the effect of fixed costs on profits.