What trend should you look for when determining the attractiveness of an industry sector?
a. Presence of government regulation
b. Large companies that are making a lot of money
c. Modest profitability within the industry
d. Upward growth in customer demand for new products and services
d. Upward growth in customer demand for new products and services
You might also like to view...
Barney prefers one-on-one conversation. And Fred agrees that type of communication has its place, but that electronic communications, such as e-mail, Twitter, and Facebook, have a key advantage in that
A. information can be shared rapidly with a large number of people. B. complex problems can be solved effectively. C. more trust is engendered among users than with face-to-face communication. D. sensitive or private information can be safely transmitted. E. higher-quality decisions can be made in comparison to face-to-face communication.
?Which of the following is an example of a firm's long-term debt?
A. ?Common stock B. ?Retained earnings C. ?Accounts payable D. ?Corporate bonds E. ?Accounts receivable
As the financial leverage multiplier increases, this may result in ________
A) an increase in the net profit margin and return on investment, due to the decrease in interest expense as debt decreases B) an increase in the net profit margin and return on investment, due to the increase in interest expense as debt increases C) a decrease in the net profit margin and return on investment, due to the increase in interest expense as debt increases D) a decrease in the net profit margin and return on investment, due to the decrease in interest expense as debt decreases
The risk structure of interest rates describes the relationship between the interest rates of different bonds with the same maturities
Indicate whether the statement is true or false