Discounted Cash Flow (DCF) Techniques Answer Which of the Following

question 93

Multiple Choice

Discounted cash flow (DCF) techniques answer which of the following questions?

• A) Do the cash returns of the investment exceed the cash outlays?
• B) How does the present value of future benefits from the investment compare to the investment outlay?
• C) How long will it take to recover the original investment outlay?
• D) How many dollars in average profits are generated per dollar of average investment?

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Definitions:

Dependent Variables

Variables in experimental research that are expected to change as a result of manipulation of independent variables; they are the outcomes measured by the researcher.

Independent Variables

In an experiment, the variable that is manipulated or altered to examine its effect on a dependent variable.

Demand Characteristics

The cues in a study that might tell a research participant what behaviors are expected or desirable in that setting.

Confounds

Factors in an experiment that could undermine the ability to draw accurate conclusions by affecting the dependent variable in ways not accounted for by the independent variable.