A venture opportunity may be justified regardless of whether it is attractive in the marketplace.
Answer the following statement true (T) or false (F)
True
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The term “performance based” in a contract means the ______.
A. payment is made through the use of vouchers B. grant recipient is not required to show measurable outcomes C. payment and renewal of the grant are contingent on meeting outcome goals D. grant recipient must demonstrate performance outcomes before receiving a grant
A firm can increase the growth rate of common stockholders' investment in the firm by retaining
more earnings or increasing return on equity. Indicate whether the statement is true or false
How are independent Web news organizations able to compete with traditional news leaders?
(a) Independent Web news organizations are more likely to offer contests and free giveaways. (b) They are able to take advantage of the absence of the traditional barriers of entry to the news publishing field, such as high printing and publishing costs. (c) Given the proper resources, they are able to hire "big-name" reporters and columnists away from the traditional news leaders. (d) By sending many e-mails and press releases announcing their new company to attract visitors to their Web site.
Why would a high debt ratio be a red flag in a financial statement analysis?
A) The company is borrowing more than it is earning. B) The company may be unable to pay its debts. C) The company is paying too much interest. D) Both A and B are reasons why it would be a red flag.