A Company with a Higher Level of Gearing Will Have

question 40

Multiple Choice

A company with a higher level of gearing will have:

• A)a high liabilities/total assets ratio.
• B)a lower owners' equity/total assets ratio.
• C)a higher owners' equity/total assets ratio.
• D)Both A and B.

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Definitions:

RNA Polymerase

An enzyme responsible for synthesizing RNA from a DNA template, playing a crucial role in gene transcription.

Alternative RNA Splicing

A post-transcriptional process in which exons or introns are selectively included in or excluded from a final mRNA transcript, thus allowing a single gene to code for multiple proteins.

Acetyl Groups

Functional groups in organic chemistry that consist of a methyl group single-bonded to a carbonyl. The formula is CH3CO-.