To determine the expected growth rate of Company 1 compared to Company 2, we need to consider the given information about dividend payout ratio, return on assets, and financial leverage.

The growth rate of a company can be estimated using the sustainable growth rate (SGR) formula:

SGR = (Return on Assets) × (1 - Dividend Payout Ratio) × (Financial Leverage)

Let's calculate the SGR for Company 1 and Company 2:

SGR1 = (12%)(1 - 37.5%)(1.6) = 7.2% SGR2 = (10.0%)(1 - 40.0%)(2.0) = 12.0%

Comparing the SGRs, we can see that the SGR for Company 1 is 7.2%, and the SGR for Company 2 is 12.0%.

Since the SGR for Company 1 is lower than the SGR for Company 2, we can conclude that the expected growth rate of Company 1 is lower than that of Company 2.

Therefore, the correct answer is A) lower.

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To answer this question, we need to understand the differences between long investment time horizons and short investment time horizons.

Investors with long investment time horizons typically have more time to ride out market fluctuations and are generally more focused on long-term growth. They can afford to have their funds tied up in investments for longer periods and may prioritize capital appreciation over immediate liquidity.

On the other hand, investors with short investment time horizons have less time to recover from potential losses and may need access to their funds quickly. They are typically more concerned with preserving capital and may prioritize liquidity over potential long-term growth.

With this understanding, let's go through each option to determine the most likely requirement for investors with short investment time horizons:

Option A) Less liquidity and less emphasis on capital appreciation - This option is incorrect because investors with short investment time horizons generally require more liquidity, not less.

Option B) More liquidity and less emphasis on capital appreciation - This option is correct because investors with short investment time horizons typically need more liquidity and are less focused on capital appreciation.

Option C) Less liquidity and greater emphasis on capital appreciation - This option is incorrect because investors with short investment time horizons generally require more liquidity, not less, and are less focused on capital appreciation.

Option D) None of the above - This option is incorrect because option B is the correct answer.

Therefore, the correct answer is B) more liquidity and less emphasis on capital appreciation. This option aligns with the requirements of investors with short investment time horizons.

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To answer this question, we can analyze the given statements:

1. Tanya is older than Eric.
2. Cliff is older than Tanya.
3. Eric is older than Cliff.

Let's consider the implications of these statements:

If Tanya is older than Eric, and Cliff is older than Tanya, then it follows that Cliff is older than Eric. This contradicts the third statement which states that Eric is older than Cliff.

Therefore, since the third statement contradicts the first two statements, the correct answer is B) False.

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To determine which defensive player tackles the receiver, let's analyze the given information step by step:

1. Four defensive players are chasing the opposing wide receiver: Calvin, Jenkins, Burton, and Zeller.
2. Calvin is directly behind the ball carrier.
3. Jenkins and Burton are side by side behind Calvin.
4. Zeller is behind Jenkins and Burton.

Now, let's consider the events that occur:

1. Calvin tries for the tackle but misses and falls.
2. Burton trips.

Since Calvin misses the tackle and falls, and Burton trips, we can conclude that neither Calvin nor Burton can tackle the receiver.

Therefore, the only remaining options are Jenkins and Zeller. Since Jenkins is directly behind Calvin and Burton, and Zeller is behind Jenkins and Burton, Jenkins is the last defensive player in line who can tackle the receiver.

Therefore, the correct answer is C) Jenkins.

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To answer this question, we need to understand the factors that affect the value of an option.

Option A) Strike price - The strike price is the predetermined price at which the underlying asset can be bought or sold. The strike price is an important factor in determining the value of an option, as it affects the potential profit or loss for the option holder. Therefore, the value of an option is influenced by the strike price.

Option B) Variability of the stock price - The variability or volatility of the stock price is another important factor in determining the value of an option. Higher volatility increases the potential for larger price movements in the underlying stock, which can increase the likelihood of the option ending up in-the-money. Therefore, the value of an option is influenced by the variability of the stock price.

Option C) Option's time to maturity - The time to maturity refers to the remaining time until the option contract expires. The longer the time to maturity, the greater the potential for the underlying stock price to move in favor of the option holder. Therefore, the value of an option is influenced by the option's time to maturity.

Option D) All of the above - Considering the explanations for options A, B, and C, we can see that all of these factors (strike price, variability of the stock price, and the option's time to maturity) are important in determining the value of an option. Therefore, the correct answer is option D, all of the above.

In summary, the value of an option depends on the stock's price, the risk-free rate, the strike price, the variability of the stock price, and the option's time to maturity.

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