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In Zimbardo's Prison Study, Male College Students Agreed to Participate

question 152

Multiple Choice

In Zimbardo's prison study, male college students agreed to participate in a two-week experiment to discover what would happen when they took on the roles of prisoners and guards. After the prisoners staged a revolt, the researchers found that ________.


Definitions:

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.

Times Interest Earned

A financial ratio that measures a company's ability to meet its debt obligations based on its earnings before interest and taxes (EBIT).

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