The Intrinsic Value Approach Ignores Two Types of Costs

question 2

Multiple Choice

The intrinsic value approach ignores two types of costs:

• A)interest cost and opportunity cost.
• B)opportunity cost and exercise cost.
• C)interest cost and option cost.
• D)carrying cost and interest cost.

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Definitions:

Aristotle

An ancient Greek philosopher and scientist who made significant contributions in logic, metaphysics, ethics, and natural sciences.

Determined

Having a strong motivation or determination to achieve a specific outcome or goal.

Pierre-Simon de Laplace

A French mathematician and astronomer known for his work in celestial mechanics and the formulation of Laplace's equation.

Determinism

The philosophical theory that all events, including moral choices, are completely determined by previously existing causes.