Which of the Following Is Most Consistent with an Increase

question 59

Multiple Choice

Which of the following is most consistent with an increase in the ratio of debt to equity?

• A)Payment of a required principal payment on long-term debt.
• B)Repurchase of a portion of the company's outstanding common stock.
• C)Higher than expected profits due to a decrease in cost of goods sold.
• D)Payment of most accounts receivable immediately prior to year-end using a portion of the company's cash.

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Definitions:

Automatic Mind

The aspect of cognition that operates without conscious control, often handling routine or familiar tasks.

Deliberate System

Refers to the cognitive process that is slow, rational, and involves conscious decision-making, contrasting with automatic, quick responses of the brain's intuitive system.

Deliberate Mind

Thinking that is conscious, intentional, and reasoned, as opposed to automatic and instinctive.

Environment

The surroundings or conditions in which a person, animal, or plant lives or operates.