Based on Social Psychological Research, It Appears That Familiarity Breeds

question 23

Multiple Choice

Based on social psychological research, it appears that familiarity breeds:

• A)liking
• B)proximity
• C)contempt
• D)indifference

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Definitions:

EPS

Earnings Per Share – a company's profit divided by the outstanding shares of its common stock, providing an indicator of the company's profitability.

Degree Of Total Leverage

A ratio that measures the sensitivity of a company's earnings per share to fluctuations in its operating income due to changes in its capital structure.

Financial Leverage

The use of borrowed funds to increase an investment's potential return, which also increases the risk of loss.

Operating Leverage

A measure of how sensitive a company's operating income is to changes in its revenue, indicating the proportion of fixed versus variable costs.