Which One of the Following Has the Greatest Tendency to Increase

question 33

Multiple Choice

Which one of the following has the greatest tendency to increase the percentage of debt included in the optimal capital structure of a firm?

• A)exceptionally high depreciation expenses
• B)very low marginal tax rate
• C)substantial tax shields from other sources
• D)low probabilities of financial distress
• E)minimal taxable income

Understand McClelland's acquired needs theory and its application in the work environment.

Differentiate between hygiene factors and motivators according to Herzberg's theory.

Recognize the role of expectancy, instrumentality, and valence in motivation according to expectancy theory.

Understand the principles and applications of organizational behavior modification.

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Definitions:

Direct Labor Standard

A benchmark for the amount of labor directly involved in producing a unit of output, used for budgeting and measuring efficiency.

Standard Cost Systems

Accounting systems that use standards for each element of manufacturing cost entering into the finished product.

Standards

Agreed-upon guidelines or criteria for products, services, or processes to ensure consistency and quality.

Product Costs

Expenses directly tied to the production of goods or services, including direct labor, direct materials, and manufacturing overhead.