Which of the Following Is Not an Indicator of a Potential

question 10

Multiple Choice

Which of the following is not an indicator of a potential going-concern problem?

• A)Negative trends in profitability.
• B)External matters increasing regulatory requirements.
• C)Significant changes in competition.
• D)An Altman Z-score above 3.0.

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Definitions:

Marginal Revenue

Refers to the additional income generated from selling one more unit of a good or service.

Marginal Revenue

The additional revenue that a firm receives from selling one more unit of a good or service.

Economic Profit

The discrepancy between gross revenue and comprehensive costs, inclusive of both apparent and implied expenses.

Marginal Cost

The supplementary cost associated with manufacturing one more unit of a good or service.