Pace Corp'S Assets Are $625,000,and Its Total Debt Outstanding Is $185,000

question 82

Multiple Choice

Pace Corp.'s assets are $625,000,and its total debt outstanding is $185,000.The new CFO wants to employ a debt ratio of 55%.How much debt must the company add or subtract to achieve the target debt ratio?

• A)$158,750
• B)$166,688
• C)$175,022
• D)$183,773

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Definitions:

Amplitude

Amplitude refers to the maximum extent of a vibration or oscillation, measured from the position of equilibrium.

Weber's Law

A principle stating that the change in a stimulus that will be just noticeable is a constant ratio of the original stimulus.

Just Noticeable Difference

The minimal change in a stimulus that can just barely be detected by an organism.

Absolute Threshold

The lowest level of stimulation that a person can consciously detect 50 percent of the time the stimulation is present.