A Company Has Total Assets of $1,000, Current Liabilities of $130

question 41

Multiple Choice

A company has total assets of $1,000, current liabilities of $130, and total liabilities of $350.What is the long-term debt to asset ratio?

• A)19
• B)22
• C)36
• D)31

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Definitions:

Small Request

A strategy in compliance that involves making a minor request followed by a larger one to increase the likelihood of the larger request being agreed upon.

Foot-In-The-Door Phenomenon

A principle in social psychology suggesting people are more likely to agree to a large request after first agreeing to a small, related request.

Peripheral Route Persuasion

A method of persuasion that relies on superficial cues, such as attractiveness or celebrity endorsement, to elicit a response without requiring deep processing of the message content.

Fundamental Attribution Error

The tendency to overemphasize personality traits and underestimate situational factors when explaining other people's behavior.