Which of the Following Statements Is Correct

question 60

Multiple Choice

Which of the following statements is correct?

• A)The return on equity increases as leverage increases.
• B)The earnings per share decreases as leverage increases.
• C)The risk of the equity remains constant as leverage increases.
• D)All of the above.

---

Definitions:

Whitaker Chambers

A former Communist Party member and Soviet spy who became an outspoken opponent of communism after defecting to the United States, famously testified against Alger Hiss.

Alger Hiss

A former U.S. government official who was accused of being a Soviet spy in 1948 and convicted of perjury in connection with this charge.

Soviets Celebrate

Denotes the celebration or commemoration of significant dates or events by the Soviet Union, emphasizing its achievements or historical milestones.

Women Workers

Female employees engaged in various occupations, often highlighting issues related to labor rights, gender equality, and workplace discrimination.