Ethical Problems and Issues of Social Responsibility Are

question 202

Multiple Choice

Ethical problems and issues of social responsibility are

• A) unique to firms involved in global trade.
• B) unique to the United States.
• C) not unique to the United States.
• D) less important now than in the past.

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Definitions:

Retention Ratio

The proportion of net income that is retained by a company rather than distributed to its shareholders as dividends.

Payout Ratio

The proportion of earnings a company pays to its shareholders in the form of dividends, expressed as a percentage of the company's total earnings.

Net Income

The profit of a company after all expenses, taxes, and costs have been subtracted from total revenue.

Internal Growth Rate

The maximum growth rate a firm can achieve without resorting to external financing.