Which of the Following Statements Is Correct

question 113

Multiple Choice

Which of the following statements is correct?

• A)NASDAQ is an important stock exchange in the United States.
• B)The demand for a corporation's stock is largely based on people's perception of the corporation's profitability in the future.
• C)Compared to the Standard & Poor's 500 Index,the Dow Jones Industrial Average incorporates the stock prices of a much smaller number of corporations.
• D)All of the above are correct.

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Definitions:

Net Operating Income

Income from a company's everyday operations, excluding non-operating income and expenses like interest and taxes.

Sales Volume

The number of units of a product or service sold in a specific period of time.

Fixed Expenses

Costs that do not fluctuate with changes in production volume or sales, such as rent, salaries, and insurance premiums.

Net Operating Income

The earnings generated from the primary activities of a business, before subtracting interest and tax expenses.