Which of the Following Would Tend to Increase a Firm's

question 40

Multiple Choice

Which of the following would tend to increase a firm's target debt ratio,other things held constant?

• A) The costs associated with filing for bankruptcy increase.
• B) The corporate tax rate is increased.
• C) The personal tax rate is increased.
• D) The Federal Reserve tightens interest rates in an effort to fight inflation.
• E) The company's stock price hits a new low.

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Definitions:

Ruthless

An adjective describing actions or attitudes of harshness or lack of compassion, especially in pursuit of objectives.

Social Needs

Refers to the human requirements for belonging, affection, acceptance, and friendship among social groups and communities.

Initiating Structure

A leadership behavior that involves setting up clear roles, responsibilities, and tasks for team members, aimed at organizing work and establishing clear directions.

Nurturing Followers

The act of supporting and encouraging followers’ development and well-being to enhance their performance and growth.