Sarah Is Trying to Learn the Difference Between "Principal" and "Principle

question 39

Multiple Choice

Sarah is trying to learn the difference between "Principal" and "Principle." She devices a method to differentiate between the two words: "Your principal is your pal. A rule can be called a principle." Sarah is using __________.

• A)chunking
• B)visual imagery
• C)mnemonic devices
• D)hierarchies

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Definitions:

Price-Earnings Ratio

A valuation metric that compares a company's share price to its per-share earnings, used to evaluate if a stock is over or under-valued.

Book Value Per Share

Book Value Per Share is a financial metric that measures a company's net asset value on a per-share basis, calculated by dividing total assets minus liabilities by the number of shares outstanding.

Cash Inflows

Money received by a business from its operational, investing, and financing activities.