An Individual Does Poorly on a Written Section of a Test

question 15

Multiple Choice

An individual does poorly on a written section of a test but later performs extremely well on a performance section.If the performance score can supplement for the written test score,it is a _____ system.

• A)statistical
• B)compensatory
• C)hurdle
• D)staggered

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Definitions:

Net Present Value

A financial metric that calculates the present value of all cash inflows and outflows associated with an investment, considering the time value of money.

Capital Budgeting

The process by which investors determine the value of potential investments or projects by assessing the cash inflows and outflows associated with them.

Conventional Cash Flows

A series of inward and outward cash flows over time where there is typically one initial outflow followed by several inflowing cash amounts.

Profitability Index

The Profitability Index is a financial metric that compares the present value of future cash flows generated by a project to the initial investment, used to assess the attractiveness of an investment.