A Diamond Will Float in Water, but Sink in Carbon

question 94

Multiple Choice

A diamond will float in water, but sink in carbon tetrachloride. Place these three substances in order from least density to greatest density.

• A)water < diamond < carbon tetrachloride
• B)diamond < water < carbon tetrachloride
• C)carbon tetrachloride < diamond < water
• D)diamond < carbon tetrachloride < water
• E)water < carbon tetrachloride < diamond

Analyze the effect of cash dividends on financing activities.

Determine a company's free cash flow.

Evaluate the impact of capital expenditures on a company's cash flows.

Understand the classification of activities on the statement of cash flows (operating, investing, and financing).

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Definitions:

Purely Competitive

A commercial framework with a vast number of tiny enterprises, a single type of product, freedom to enter and leave, and total transparency of information.

Allocative Efficiency

An allocation scenario where it's not feasible to enhance one person's well-being without negatively impacting another's.

Scarce Resources

Limited natural, human, and capital resources that cannot satisfy all wants and needs.

Consumer Preferences

Describes the subjective tastes and preferences of individual consumers, influencing their purchasing decisions.