In Terms of Human Capital,which of the Following Is the Best

question 97

Multiple Choice

In terms of human capital,which of the following is the best example of an inherited skill?

• A)a neurosurgeon who can perform brain surgery after many years of training
• B)a retail worker who is able to work overtime each week
• C)a worker who exercises is healthier and therefore more productive
• D)a salesman doubles his sales after taking a training course
• E)a music teacher who can carry a tune for the school choir

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Definitions:

Present Value

The value, as of now, of a forthcoming amount of money or cash flows over time, determined using a designated rate of return.

Maturity Value

The amount of money that will be paid out or received at the maturity of an investment, loan, or financial instrument.

Balance Sheet

A financial statement that presents a company's assets, liabilities, and shareholders' equity at a specific point in time, offering a snapshot of its financial condition.

Operating Cycle

A measure of the time span between the purchase of inventory and the collection of cash from accounts receivable, highlighting the time taken for a business to turn its inventory into cash.