Which of the Following Is a Short-Run Adjustment

question 14

Multiple Choice

Which of the following is a short-run adjustment?

• A)A local bakery hires two additional bakers.
• B)Six new firms enter the plastics industry.
• C)The number of farms in the United States declines by 5 percent.
• D)BMW constructs a new assembly plant in South Carolina.

Calculate a firm's sustainable and internal growth rates using accounting statements.

Identify and explain the time focus of financial planning.

Know the necessity of external financing when a firm anticipates strong sales growth.

Understand the components and importance of pro forma statements in financial planning.

---

Definitions:

Psychological Resources

Mental and emotional assets that help individuals cope with life's challenges, such as resilience, self-esteem, and optimism.

Material Resources

Physical or tangible assets that are used in the production or supply of goods and services.

Survivors

Individuals or entities that remain active or viable after a particularly challenging period or event, often having adapted to new conditions.

Selective Perception

The cognitive process by which individuals perceive what they want in messages while ignoring opposing viewpoints.