A Company Expects Sales to Increase During the Coming Year,and

question 3

Multiple Choice

A company expects sales to increase during the coming year,and it is using the AFN equation to forecast the additional capital that it must raise.Which of the following conditions would cause the AFN to increase?

• A) The company previously thought its fixed assets were being operated at full capacity,but now it learns that it actually has excess capacity.
• B) The company increases its dividend payout ratio.
• C) The company begins to pay employees monthly rather than weekly.
• D) The company's profit margin increases.
• E) The company decides to stop taking discounts on purchased materials.

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Definitions:

Predators

Organisms that hunt and kill other organisms for food.

Rodents

Mammals of the order Rodentia, characterized by a single pair of continuously growing incisors in each of the upper and lower jaws.

Medical Harm

Adverse effects or complications that occur as a result of medical treatment or intervention, ranging from minor to severe, and can include medication errors, surgical mistakes, and misdiagnoses.

Sleep

A natural, reversible, periodic state of rest for the mind and body, in which consciousness is altered and sensory activity is reduced.