You Are Thinking About Building a New Mall

question 161

Multiple Choice

You are thinking about building a new mall.Your trusted economic consultants say the mall will bring a 7 percent real rate of return.Because you know that you can borrow the necessary money at 5 percent,

• A) you will build the mall only if you expect inflation to remain below 2 percent.
• B) you will definitely build the mall.
• C) you will build the mall,unless you expect inflation to rise above 12 percent.
• D) you will build the mall,so long as you expect inflation to remain below 7 percent.
• E) you will build the mall,so long as you expect inflation to remain below 5 percent.

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Definitions:

Control Group

In experimental research, a group of subjects that does not receive the treatment being tested, used as a benchmark to measure the effect of the treatment.

Data Collection Method

Techniques or procedures used to gather information or data for analysis in research, studies, or evaluations.

Kirkpatrick's Hierarchical Evaluation Model

A framework that assesses training programs through four levels: reaction, learning, behavior, and results, to measure their effectiveness.

Validity

The quality of being logically or factually sound; in research, it refers to the extent to which a concept, conclusion, or measurement is well-founded and corresponds accurately to the real world.