Which of the Following Statements Is Most Correct

question 43

Multiple Choice

Which of the following statements is most correct?

• A) The cheapest form of capital is equity
• B) Companies with the highest current ratios have the most liquidity
• C) The best indicator of short term financing needs is the cash flow adequacy ratio
• D) A faster growing company is more likely to need external financing than a slower growing company

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Definitions:

Landfill Additives

are materials added to landfills to enhance decomposition, manage odors, or improve the breakdown of waste materials.

Sustainability Damage

Negative impacts to the environment, society, or economy due to unsustainable practices or decisions.

Carbon Tax

A fee imposed on the burning of carbon-based fuels (coal, oil, gas) aimed at reducing the emission of greenhouse gases into the atmosphere.

Cap and Trade

An environmental policy tool that sets a limit (cap) on emissions and allows companies to trade (buy or sell) allowances that permit them to emit a certain amount of pollutants.