The Following Question Relate to PQR, Which Has the Following

question 16

Multiple Choice

The following question relate to PQR, which has the following ratios: return on assets, (ROA) 12%; return on equity (ROE) 14%; and current ratio (CR) of 2:1.
-A company declares and pays an interim dividend.The effect of this transaction is to:

• A) decrease CR,but not affect ROA and ROE
• B) decrease CR,but increase ROA and ROE
• C) decrease CR,increase ROA,and not affect ROE
• D) have no effect.

Understand the concept and measurement of cost-output elasticity.

Analyze and compute optimal capital-labor ratios and their implications for firm output and costs.

Understand economies of scale and their impact on long-run average and marginal costs.

Understand and apply the concept of economies of scope in joint production decisions.

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Definitions:

Group Cohesion

The bonds that hold a group of people together, promoting unity and commitment among members.

May Pole

A traditional springtime folk practice involving a tall pole adorned with flowers and ribbons around which people dance, often to celebrate May Day.

Group Development

The various stages a group goes through from formation to termination, including forming, storming, norming, performing, and adjourning.

Open Membership

A policy or practice where an organization allows anyone to join without restrictions based on criteria like background, qualifications, or membership fees.