Each of the following investments produces the same rate of return. Which one has the greatest amount of risk?

Newton Company settles a liability by making a payment in cash. How does paying this liability affect the accounting equation of the business?

A) assets and liabilities decrease B) liabilities decrease and equity increases C) assets and liabilities increase D) assets increase and equity decreases

Which of the following is not a usual question for evaluating channel member growth prospects?

a. Has the channel member's performance been in keeping with the general level of business activity in his territory? b. Does the channel member have the adaptability and the overall capacity to meet market expansions that may occur in his territory? c. Does the channel member's past performance indicate that his sales of the manufacturer's products are likely to keep pace with those projected for his region, district, or trade area? d. What is the total level of the channel member's current inventory? e. Is the channel member's firm growing or improving in areas of inventory maintenance and quality of lines represented?