Which of the Statements Below Is TRUE

question 54

Multiple Choice

Which of the statements below is TRUE?

• A)The frequency of bankruptcy for a high-tech up-start firm is lower than for a blue-chip firm,so we see higher borrowing rates for start-ups than for mature firms.
• B)The frequency of bankruptcy for a high-tech up-start firm is higher than for a blue-chip firm,so we see lower borrowing rates for start-ups than for mature firms.
• C)The frequency of bankruptcy for a high-tech up-start firm is lower than for a blue-chip firm,so we see lower borrowing rates for start-ups than for mature firms.
• D)The frequency of bankruptcy for a high-tech up-start firm is higher than for a blue-chip firm,so we see higher borrowing rates for start-ups than for mature firms.

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Definitions:

Slope

In mathematics, it's the measure of the steepness or the angle of a line, defined as the ratio of the vertical change to the horizontal change.

Price

The monetary value attached to the purchase of a good or service.

Quantity

The quantity of a tangible or intangible product or service.

Curve Shift

A movement of the supply or demand curve to the left or right, indicating a change in the market conditions.