Which of the Following Will Increase the Additional Funds Needed

question 52

Multiple Choice

Which of the following will increase the additional funds needed from external sources?

• A) The firm's profit margin increases.
• B) The firm's dividend payout ratio decreases.
• C) The firm's debt ratio decreases.
• D) None of these

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Definitions:

Divorce

The legal termination of a marriage by a court or other competent body, dissolving the bonds of matrimony between a married couple.

Early Marriage

The practice of marrying at a young age, often defined differently across cultures, and frequently discussed in terms of its social, economic, and health impacts.

Equity Principle

The principle suggesting fairness is achieved when the ratio of an individual's inputs to outcomes is equal to that of others.

Similar Partner

The concept that individuals often choose partners who are similar to them in various attributes like interests, attitudes, and values.