Which of the Following Events Is Likely to Encourage a Company

question 48

Multiple Choice

Which of the following events is likely to encourage a company to raise its target debt ratio,other things held constant?

• A) An increase in the corporate tax rate.
• B) An increase in the personal tax rate.
• C) An increase in the company's operating leverage.
• D) The Federal Reserve tightens interest rates in an effort to fight inflation.
• E) The company's stock price hits a new high.

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Definitions:

Positive Group Roles

The beneficial roles played by members within a team or group that contribute to its effective functioning.

Cross-functional Team

A group composed of members from different departments or areas of expertise working together towards a common goal.

Team Development

The process of enhancing the effectiveness of a work group through strategies focusing on improving interpersonal relations, problem-solving, and achieving goals.

Group Decision Making

Involves multiple individuals coming together to make a decision based on collective discussion, varying perspectives, and consensus-building.