In Fritz Heider's Balance Theory, Balance Is Synonymous with ____

question 82

Multiple Choice

In Fritz Heider's balance theory, balance is synonymous with ____.

• A) consistency
• B) happiness
• C) efficiency
• D) understanding

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Definitions:

Profitability

The ability of a company to generate earnings relative to its revenue, assets, or equity over a specific period, indicating its financial health.

Vertical Analysis

A financial method that expresses each item within a financial statement in percentage terms of a base figure for the same time period, facilitating comparison.

Base Amount

A reference value or starting point used in financial calculations or comparisons.

Vertical Analysis

A financial analysis method that lists each line item as a percentage of a base figure within the same financial statement.