How Do Structures Enable Behavior

question 59

Multiple Choice

How do structures enable behavior?

• A) Structures give us guidelines about how to act.
• B) Structures punish us when we act improperly.
• C) Structures actually have nothing to do with behavior.
• D) Structures are the exact opposite of how we should behave.

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Definitions:

Discount

A reduction from the full amount or value of a product or service, usually to entice customers or accelerate sales.

Effective Interest Method

An accounting practice for amortizing a bond discount or premium on the basis of effective interest rate, rather than the straightforward straight-line method.

Discount

A reduction applied to the price of goods or services, or the difference between the nominal value of a financial instrument and its lower market price.

Bond Liability

A financial obligation of a company that arises when it issues bonds to raise funds, representing its need to repay the principal and interest to bondholders.