Considering Each Action Independently and Holding Other Things Constant, Which

question 15

Multiple Choice

Considering each action independently and holding other things constant, which of the following actions would reduce a firm's need for additional capital?

• A) An increase in the dividend payout ratio.
• B) A decrease in the profit margin.
• C) A decrease in the days sales outstanding.
• D) An increase in expected sales growth.
• E) A decrease in the accrual accounts (accrued wages and taxes).

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Definitions:

Role Expectations

The social norms and behaviors that are anticipated from an individual in a specific position or role.

Hit a Home Run

To achieve great success in a particular endeavor or activity, often surpassing expectations.

Cultural Intelligence

The capability to function effectively in culturally diverse settings.

Promotion

Advancement to a higher position or rank, often accompanied by increased responsibilities and benefits.