Which of the Following Statements Is Incorrect

question 148

Multiple Choice

Which of the following statements is incorrect?

• A) Higher financial leverage involves higher risk.
• B) Risk is higher if a company has more liabilities.
• C) Risk is higher if a company has higher assets.
• D) The debt ratio is one measure of financial risk.
• E) Lower financial leverage involves lower risk.

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Definitions:

ADHD

A neurodevelopmental condition, Attention Deficit Hyperactivity Disorder, manifests through lack of focus, high levels of activity, and impulse control issues.

Stimulant Medications

Drugs that increase activity in the brain and nervous system, often prescribed to treat conditions like ADHD and narcolepsy.

Vigilance

The action or state of keeping careful watch for possible danger or difficulties.

Parenting Styles

The systemic strategies and approaches parents use in raising their children, which significantly affect children's behavior and development.