The Smaller the Fraction of an Investment Financed by Borrowing

question 180

Multiple Choice

The smaller the fraction of an investment financed by borrowing

• A)the greater the potential return and potential loss on that investment.
• B)the smaller the potential return and potential loss on that investment.
• C)the greater the potential return and the smaller the potential loss on that investment.
• D)the smaller the potential return and the greater the potential loss on that investment.

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Definitions:

Noncompete Clause

A contract provision that restricts an employee from working with competing firms or starting a similar business for a specified period after leaving the company.

Realistic Job Previews

An HR practice involving giving prospective employees a true picture of what their job would entail, including both positive and negative aspects, to ensure proper fit.

Employee Assistance Programs

Workplace-supported programs to help employees deal with personal problems that might adversely impact their work performance, health, and well-being.

Involuntary Turnover

Is terminating employees whose services are no longer desired.