There Are Four Main Types of Decisions

question 7

Multiple Choice

There are four main types of decisions.Which type of decision is also called an ad hoc decision?

• A)Nonstructured
• B)Nonrecurring
• C)Structured
• D)Defined

---

Definitions:

EBIT

Earnings Before Interest and Taxes represents a company's profit, encompassing all revenues and costs apart from interest and taxes.

EPS

Earnings per share. A firm’s earnings stated on a per-share outstanding basis. An important measure of business performance in the stock market.

Equity

Ownership interest in a company, represented by shares that entitle holders to a share of the company's profits.

Financial Leverage

The use of borrowed money to multiply financial performance in terms of ROE and EPS.