Which of the following statements is true of the debt to equity ratio?
A) The higher the debt to equity ratio, the lower the company's financial risk.
B) The higher the debt to equity ratio, the greater the company's financial risk.
C) If the debt to equity ratio is greater than 1, the company is financing more assets with equity than with debt.
D) If the debt to equity ratio is less than 1, the company is financing more assets with debt than with equity.
B
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Elizabeth works with the gaming production team at her job, so the leader of that group often assigns her work, but she also has a boss in the marketing department. Which of the following is most likely true?
A. There is likely to be a lack of common purpose among her managers. B. Her workplace has too much division of labor. C. Her work arrangement violates the unity of command principle. D. Because of her cross-functional team, her work can be done without coordinated effort. E. Her production team leader has too wide a span of control.
Val IT is similar to the Balanced Scorecard in what sense?
A. The VAL IT plan should fit on one page. B. It requires firms to define value in terms of the firms' strategic objectives. C. It is linked closely to the use of strategy maps. D. IT governance is a key focus area.
The second step in the innovation process includes ______.
A. idea generation B. problem development C. identifying advantages and disadvantages related to the idea D. producing and distributing the new product or idea
Oswald purchased land for $48,000 and paid an additional $2,000 to install parking space. The entry to record the payment for the parking space is:
A) Land 50,000 Cash 50,000 B) Land Improvements 50,000 Cash 50,000 C) Land Improvements 2,000 Cash 2,000 D) Land Improvements 46,000 Cash 46,000