Members of a Group Are Attracted to Each Other and Value

question 87

Multiple Choice

Members of a group are attracted to each other and value their group membership. Keeping membership exclusive tends to increase which of the following influences?

• A) cohesiveness
• B) membership intensity
• C) affiliation bonding
• D) self-other congruence

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Definitions:

Redeeming Shares

The process of returning an investment by selling the shares back to the issuer for cash.

Debt Capital Structure

The composition of a company’s debt and equity capital, and the strategies used to finance its operations and growth. It often refers to the balance between the company's debt (liabilities) and equity (shareholder's equity).

Annual EBIT

Earnings Before Interest and Taxes calculated over a yearly period, indicating the profitability of a company before accounting for interest and tax expenses.

Homemade Leverage

The use of personal borrowing to change the overall amount of financial leverage to which the individual is exposed.