The Rewards That Stakeholders Receive for Participating in an Organization

question 82

Multiple Choice

The rewards that stakeholders receive for participating in an organization are called ________.

• A) inducements
• B) contributions
• C) annuity
• D) dividends

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Definitions:

Salvage Value

The anticipated remaining worth of an asset when it reaches the end of its operational lifespan.

Net Present Value

The difference between the present value of cash inflows and the present value of cash outflows over a period of time.

Discount Rate

The interest rate used in discounted cash flow analysis to determine the present value of future cash flows.

Working Capital

The difference between a company’s current assets and current liabilities, indicating the short-term financial health and operational efficiency.