Assume That a Firm Has $100 Million in Real Assets

question 20

Multiple Choice

Assume that a firm has $100 million in real assets and $90 in real liabilities.If the price level rise by ten percent,the real value of its assets would ________.

• A)fall
• B)rise
• C)change,but more information must be provided to determine their exact movement
• D)remain unchanged

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Definitions:

Job Enriched

A job design technique that aims to increase employee satisfaction by giving them more responsibilities and opportunities to make decisions.

Responsibility

The obligation to perform duties or tasks correctly and being accountable for the outcomes.

Stable Workforce

A stable workforce refers to a work environment where the number of employees and their job roles remain constant over time, minimizing turnover and fostering consistent productivity and organizational knowledge.

Higher Wages

Increased compensation paid to workers, usually as a result of economic policies, bargaining agreements, or market conditions, leading to improved living standards.