Once a Financing Statement Has Been Filed with a Correct

question 45

Multiple Choice

Once a financing statement has been filed with a correct agency,for how long is the statement valid under the UCC?

• A) 1 year
• B) 2 years
• C) 3 years
• D) 4 years
• E) 5 years

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Definitions:

Return on Assets

A financial ratio that measures how efficiently a company uses its assets to generate net income, typically expressed as net income divided by total assets.

Return on Debt

An assessment of the profitability relative to the amount of debt used, often calculated as the interest rate or yield on the debt instrument.

Interest Tax Shields

The reduction in income taxes that results from taking allowable deductions for interest expenses.

Debtholders

Individuals or institutions that have lent money to a company through the issuance of bonds or loans.