What Four Factors Are Important to Consider in Determining a Target

question 32

Multiple Choice

What four factors are important to consider in determining a target debt to equity ratio.

• A) taxes, asset types, pecking order and financial slack and debt capacity.
• B) asset types, uncertainty of operating income, operating capacity, and pecking order and financial slack.
• C) taxes, financial slack and pecking order, debt capacity and uncertainty of operating income.
• D) taxes, asset types, pecking order and financial slack and uncertainty of operating income.

---

Definitions:

Preservation

The act of maintaining something in its original or existing state to prolong its life or prevent decay.

Restoration

The process of returning an object, building, or area to its original condition or to a state similar to its original condition.

Environmental Marketing

Marketing efforts that highlight the environmentally friendly attributes of a product or company to appeal to eco-conscious consumers.

Substantive Changes

Significant amendments or transformations within an organization, policy, or system that fundamentally alter the existing structure or operations.