Question
With the information given below, what is the Equity
Multiplier of a firm? Total Assets of the firm = 200,000 Total Debt =50,000 Total Equity =40,000Solution
The equity multiplier is calculated by dividing a company's total asset value by total net equity, and it measures financial leverage. Companies finance their operations with equity or debt, so a high equity multiplier indicates that a larger portion of asset financing is attributed to debt. Equity multiplier = Total Assets/Total equity = 200,000/40,000= 5
A decision is said to be rational when it is based on _______
Which of these is not part of the recognised challenges for modern managers?
...What was the major criticism of the Trait theory?
When the relationship that exists between a leader and follower is that of a lord and his subject, it is a _______ type of leadership.
If a general manager asks the sales manager to recruit some salesman on his behalf, it is an instance of
Which of the following is the correct definition of leadership?
An effective MIS (Management Information System) should have all the features, except?
When decision making is easy in an organisation due to the existence of rules, standardised processes and procedures which are to be followed, What type...
Which of the following is a characteristic of participative or democratic leaders?
What is the changing step in Lewin's change model?
