Which One of These Statements Is Correct Regarding U

question 64

Multiple Choice

Which one of these statements is correct regarding U.S. firms during the period 1995-2012?

• A) Firms have rarely relied on debt financing.
• B) Internal funds have provided less than half of the firms financing needs.
• C) Firms have repurchased more equity than they have sold.
• D)Debt is used to fund approximately half of the firms financing needs.

---

Definitions:

Year 2

A term that indicates the second year in a series, often used in financial and operational planning to distinguish between different time periods.

Accounts Receivable Turnover

A financial ratio that measures how many times a company can turn its accounts receivable into cash within a period.

Year 2

A reference to the second year of operation, study, or observation, the specifics of which depend on the context.

Current Ratio

An indicator of how well a company can fulfill its short-term financial obligations within a year, calculated by the division of current assets by current liabilities.