Changes in GDP in the Short Run Are Caused Primarily

question 35

Multiple Choice

Changes in GDP in the short run are caused primarily by

• A)demand factors.
• B)supply factors.
• C)technology.
• D)capital accumulation.
• E) all of the above

Understand the interplay between federal securities laws and state (Blue Sky) laws.

Grasp the concept of materiality in securities law and its significance in corporate disclosures and registrations.

Appreciate the importance of the Sarbanes-Oxley Act of 2002 in enhancing corporate responsibility and protecting investors.

Understand how securities laws apply to various actors in the securities market, including corporate "outsiders".

---

Definitions:

Weighted Average Cost Of Capital

The average rate of return a company is expected to pay to its security holders, weighted by the proportion of each type of capital in the overall capital structure.

Economic Value Added

A measure of a company's financial performance based on the residual wealth calculated by deducting its cost of capital from its operating profit.

Return On Investment

A measure used to evaluate the efficiency of an investment, calculated as net profit divided by the cost of the investment.

Capital Turnover

A ratio that shows how efficiently a company uses its capital assets to generate sales revenue.