Which of the Following Will Prevent Firms from Engaging in Price

question 181

Multiple Choice

Which of the following will prevent firms from engaging in price discrimination?

• A)yield management
• B)arbitrage
• C)transactions costs
• D)odd pricing

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Definitions:

Times-Interest-Earned Ratio

A financial ratio that measures a company's ability to meet its interest payments on outstanding debt.

Debt-to-Equity Ratio

A ratio demonstrating the mix of owner's equity and liabilities in financing the assets of a company.

Quick Ratio

A liquidity measure that evaluates a company's ability to pay off its current liabilities with its most liquid assets, excluding inventories.

Indexed Bonds

Bonds that have their principal amount or interest payments linked to an index, such as inflation or a specific price index, to protect investors from inflation risk.