Which of the Following Is Not One of the 10

question 63

Multiple Choice

Which of the following is not one of the 10 warning signs that a business is growing too fast?

• A) those working with the business's financial structure are starting to worry
• B) productivity is falling
• C) e-mail starts going unanswered
• D) borrowing money to pay for routine operating expenses
• E) comfortable profit margins

---

Definitions:

T-Bill

Short for Treasury Bill, this is a short-term government security issued at a discount from par value and pays no interest.

Risk Tolerance

The degree of variability in investment returns that an investor is willing to withstand, related to one's financial situation, investment objectives, and psychological comfort.

Risky Asset

An asset that carries a significant degree of risk of losing value, but also offers a potential for higher returns compared to safer investments.

Risk-Free Asset

An asset which is assumed to provide a guaranteed return with negligible risk of financial loss, often considered to be short-term government securities.