Cash Flow and Risk Are the Key Determinants in Share

question 7

Multiple Choice

Cash flow and risk are the key determinants in share price. Increased cash flow results in ________, other things remaining the same.

• A) a lower share price
• B) a higher share price
• C) an unchanged share price
• D) an undetermined share price

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Definitions:

Devil's Advocate

A person who expresses a contentious opinion in order to provoke debate or test the strength of the opposing arguments.

Janis

Likely refers to Irving Janis, a psychologist best known for his theory of "groupthink," which describes the flawed decision-making process that can occur in cohesive groups.

Deception

The act of misleading or tricking someone by presenting false information or concealing the truth.

Research Study

A detailed investigation and analysis conducted to discover new information or reach new understandings.