The Ability of a Firm to Generate Income from Operations

question 17

Short Answer

The ability of a firm to generate income from operations given a particular level of sales is measured by the ______________________________.
Answer:

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Definitions:

Personally Liable

The legal responsibility of an individual to settle a debt or obligation from their own assets.

False Pretenses

A fraudulent and intentional misrepresentation of fact made by one person to another to induce the other to give up some valuable thing or relinquish a legal right.

Ponzi Scheme

A fraudulent investment scam promising high rates of return with little risk, which pays profits to earlier investors with funds from more recent investors.

False Entry

A fraudulent entry made in a book of accounts or public record, intended to misrepresent the true state of affairs.