Hunt Corporation Has a Target Return of 15

question 164

Multiple Choice

Hunt Corporation has a target return of 15%.If a prospective investment has an estimated return on investment of 20%,and a residual income of $10,000,what is the estimated cost of the investment?

• A)$200,000
• B)$ 66,667
• C)$ 50,000
• D)The answer can't be determined from this information.

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Definitions:

Logical Syllogisms

Reasoning structures that use deductive reasoning from two premises to arrive at a logical conclusion.

Make-Believe Animals

Fictional or imaginary creatures often found in stories, myths, or children's play, characterized by whimsical or fantastical features.

Gestalt Principle

A theory in psychology that proposes the human brain organizes visual elements into groups or unified wholes when certain principles are applied, such as similarity, proximity, continuity, and closure.

Similarity

Similarity refers to the cognitive process of recognizing shared attributes or characteristics among different objects, ideas, or phenomena, often facilitating categorization and understanding.