Other things held constant, which of the following events is most likely to encourage a firm to increase the amount of debt in its capital structure?
a. the costs that would be incurred in the event of bankruptcy increase.
b. the proportion of fixed costs (operating leverage) increases.
c. the corporate tax rate increases.
d. its sales become less stable over time
Answers: 1
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Answer the following questions using the banker’s algorithm: a. illustrate that the system is in a safe state by demonstrating an order in which the processes may complete. b. if a request from process p1 arrives for (1, 1, 0, 0), can the request be granted immediately? c. if a request from process p
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Label each of the following statements true, false, or uncertain. explain your choice carefully. a. workers benefit equally from the process of creative destruction. b. in the past two decades, the real wages of low-skill u.s. workers have declined relative to the real wages of high-skill workers. c. technological progress leads to a decrease in employment if, and only if, the increase in output is smaller than the increase in productivity. d. the apparent decrease in the natural rate of unemployment in the united states in the second-half of the 1990s can be explained by the fact that productivity growth was unexpectedly high during that period.
Answers: 3
Other things held constant, which of the following events is most likely to encourage a firm to incr...
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