Discretionary Sources of Financing Are Those Sources That Vary Automatically

question 73

True/False

Discretionary sources of financing are those sources that vary automatically with a firm's level of sales.

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Definitions:

Human Motivation

The study of what drives individuals to initiate, direct, and sustain behaviors to satisfy their needs and achieve goals.

Validity Effect

The tendency of people to believe that a statement is true or valid simply because it has been repeated many times.

Familiarity Effect

A psychological phenomenon whereby people tend to develop a preference for things merely because they are familiar with them.

Cognitive Dissonance

The state of having inconsistent thoughts, beliefs, or attitudes, especially as relating to behavioral decisions and attitude change.