Which of the Following Is Not One of the Reasons

question 25

Multiple Choice

Which of the following is not one of the reasons for the new-found relevance of management science models

• A) Modeling is an important way to think about problems in general 
• B) Modeling is often now a legal requirement 
• C) The business world is increasingly driven by numbers 
• D) Modeling helps develop intuition for problems

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Definitions:

EPS

Earnings per share, a key indicator of a company's profitability, calculated as the company's net profit divided by the number of its outstanding shares.

DFL

Degree of Financial Leverage; a measure that shows how much a company's earnings per share (EPS) are affected by changes in its operating income, indicating the volatility of earnings.

Dividends Per Share

The amount of dividends paid to shareholders, divided by the number of outstanding shares of a company's stock.

Stock Price

The present rate at which a company's stock is bought and sold on the stock exchange.