When the Owner of a Small Publishing Company Allowed a Friend

question 133

Multiple Choice

When the owner of a small publishing company allowed a friend who was starting a machine embroidery business to load the publishing company's copy of Microsoft WORD on the new business's computer, it was an example of

• A)an activity that is legal and ethical.
• B)caveat emptor.
• C)an activity that is illegal but ethical.
• D)an activity that is illegal and unethical.
• E)a strategic alliance.

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Definitions:

Financial Ratios

Metrics derived from financial statements that are used by analysts to evaluate a company's financial health or performance.

Yield To Maturity

The total return anticipated on a bond if held until it matures, including all payments of principal and interest, measured as an annual rate.

Noncallable Bonds

Bonds that cannot be redeemed by the issuer before their maturity date, providing investors with certainty that they will receive interest payments for the life of the bond.

Par Value

The stated value of a bond, stock share, or coupon as declared by the issuer.