Which of the Following Is an Example of Window Dressing

question 24

Multiple Choice

Which of the following is an example of window dressing?

• A)borrowing on a long-term basis and using the proceeds to retire short-term debt to improve the current ratio
• B)offering discounts to customers who pay with cash rather than buy on credit and then using the funds that come in quicker to purchase additional inventories
• C)using some of the firm's cash to reduce long-term debt
• D)any action that improves a firm's fundamental, long-run position and thus increases its intrinsic value.

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Definitions:

Sensory Deprivation

A condition in which one or more of the senses is reduced or eliminated, often used in psychological experiments or therapy.

Perceptual Abilities

The capacity to interpret and make sense of sensory information from the environment, such as visual, auditory, and tactile inputs, enabling individuals to understand and interact with the world around them.

Intellectual Abilities

The capacity to engage in abstract thinking, understanding complex ideas, reasoning, and problem-solving, often considered as part of cognitive abilities.

Signal Detection

A technique used to determine the ability to differentiate between information-bearing patterns and random patterns that distract from the information.