Which One of These,all Else Held Constant,will Increase the Value

question 83

Multiple Choice

Which one of these,all else held constant,will increase the value of stockholders' equity?

• A)Decrease in accounts receivable
• B)Increase in long-term debt
• C)Decrease in retained earnings
• D)Increase in accounts payable
• E)Increase in fixed assets

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Definitions:

Interest Rate

The amount charged, expressed as a percentage of principal, by a lender to a borrower for the use of assets.

Future Value

The value of a current asset at a specified date in the future based on an assumed rate of growth over time.

Interest Rate

The percentage of a loan that incurs interest for the borrower, usually shown as an annual rate based on the remaining loan balance.

Current Dollars

A term referring to the nominal value of money at the present time, without adjusting for inflation or deflation.