The Flynn Effect Refers to

question 115

Multiple Choice

The Flynn effect refers to

• A) a deviation score which signals to the researcher that there is a problem with the test.
• B) the huge IQ gains in industrialized countries over the past 50 years.
• C) the standard error in all IQ tests, which allow tests to be compared across cultures.
• D) the influence of genes on intelligence.

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Definitions:

Discount Rate

The discount rate employed to ascertain the present worth of forthcoming cash flows in an analysis of discounted cash flow.

NPV

Net Present Value; the calculation of the present value of cash inflows minus the present value of cash outflows over a period.

Cash Flows

The movement of money into and out of a business, representing its operating, investing, and financing activities.

WACC

Weighted Average Cost of Capital (WACC) is a calculation of a firm's cost of capital in which each category of capital is proportionately weighted, including debt, equity, and any other long-term debt.