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# 2. Which of the following financial situations is most

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Senior Manager
Joined: 16 Sep 2006
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2. Which of the following financial situations is most  [#permalink]

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13 Nov 2006, 12:20
2. Which of the following financial situations is most
analogous to the financial situation in which Japanâ€™s
Tokugawa shoguns found themselves in the eighteenth
century?

(A) A small business borrows heavily to invest in new
equipment, but is able to pay off its debt early
when it is awarded a lucrative government contract.
(B) Fire destroys a small business, but insurance covers
the cost of rebuilding.
(C) A small business is turned down for a loan at a
local bank because the owners have no credit
history.
(D) A small business has to struggles to meet operating
expenses when its profits decrease.
(E) A small business is able to cut back sharply on
spending through greater commercial efficiency
and thereby compensate for a loss of revenue.
Attachments

18th century japnese economy.doc [22.5 KiB]

Director
Joined: 17 Jul 2006
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13 Nov 2006, 20:54
looks like D (Though I'm not fully positive)
Senior Manager
Joined: 16 Sep 2006
Posts: 406
Followers: 1

Kudos [?]: 82 [0], given: 0

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13 Nov 2006, 23:50
looks like D (Though I'm not fully positive)

well, D is the rite answer.............................
13 Nov 2006, 23:50
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