Which of the Following Is True of Rumors

question 55

Multiple Choice

Which of the following is true of rumors?

• A)those who pass them along often project their own beliefs or fears onto the rumor
• B)typically transmitted formally
• C)originate from a known source
• D)will dissipate in the face of hard facts

---

Definitions:

Debt-To-Equity Ratio

An evaluation measuring how shareholder equity contrasts with debt in the economic arrangement to finance a company's assets.

Equity Multiplier

A ratio of financial leverage which quantifies the fraction of a company's assets funded by the equity of its shareholders.

Net Profit Margin

A financial ratio that shows the percentage of net income to revenue, indicating the efficiency at which a company converts sales into net profit.

Gross Margin

The difference between the sales revenue and the cost of goods sold, indicating the profitability of a company's core business activities.