Which of the Following Is a False Statement as It

question 33

Multiple Choice

Which of the following is a false statement as it relates to analysis?

• A)Profitability may not be a major consideration as long as the resources for repayment can be projected.
• B)Equity capital provides creditors with a cushion against loss.
• C)There is a difference between the objectives that are sought by short-term grantors of credit and those sought by long-term grantors of credit.
• D)If merchandise with a 20% markup is sold on credit,it would take ten successful sales of the same amount to make up for one sale not collected.
• E)The financial structure of the entity is of interest to creditors.

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Definitions:

Peristaltic Waves

Sequential muscle contractions that occur in the digestive tract, moving food through the esophagus to the stomach and intestines.

Erythropoietin

A hormone produced mainly by the kidneys that promotes the formation of red blood cells in the bone marrow.

Blood PH

Refers to the measure of the acidity or alkalinity of blood, vital for maintaining homeostasis in the human body.

Renin

An enzyme produced by the kidneys that plays a key role in regulating blood pressure by controlling the conversion of angiotensinogen to angiotensin I.