For All US

question 86

Multiple Choice

For all U.S.companies the Debt to Value ratio is about:

• A)12%.
• B)90%.
• C)33%.
• D)42%.

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Definitions:

Interest

The cost of borrowing money, expressed as a percentage, paid by the borrower to the lender for the use of the lender's money.

Present Value

Today's value of a future monetary amount or cash flow series, calculated with a designated rate of return.

Interest Rate

The cost of borrowing money or the return on investment for savings, usually expressed as a percentage.

Utility Function

A mathematical representation of how different quantities of goods or services increase a consumer's satisfaction or happiness.