If the Debt/assets Ratio Increases, the Costs of Both Debt

question 49

True/False

If the debt/assets ratio increases, the costs of both debt and equity decrease.

---

Definitions:

Ethical Behavior

Conduct that is consistent with principles of moral and ethical standards.

Organizational Environments

The set of external and internal conditions that affect the operations, decisions, and strategies of an organization.

Personnel Files

Documents and records kept by an employer that contain employment history, performance evaluations, and other relevant information about an employee.

Principled Level

A standard or level of behavior based on adhering to explicit principles, values, or ethics.