Which of the Following Choices Would Be Guaranteed to Increase

question 18

Multiple Choice

Which of the following choices would be guaranteed to increase a firm's ROE if the ROA is currently 10% and the leverage ratio equals 1?

• A) Decrease the leverage ratio
• B) Increase the debt burden from its current level
• C) Decrease assets from the current level
• D) Decrease the debt burden from its current level

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Definitions:

Operations Times

The total time involved in performing all operational activities, including processing and waiting times, within a production cycle.

Hybrid Automobiles

Vehicles that use a combination of internal combustion engines and electric motors for propulsion, aiming to increase fuel efficiency and reduce emissions.

Productive Work

Activities or tasks that directly contribute to producing goods or providing services that have economic value.

Cycle Time

refers to the total time from the beginning to the end of a process, indicating how long it takes to complete a cycle of the process.