An Asset's Return on Investment Has Two Components, One of Which

question 72

Multiple Choice

An asset's return on investment has two components, one of which is ____________, which reflects the cash you receive directly while you own the investment.

• A) the capital gain
• B) the income component
• C) your reward for bearing risk
• D) your total dollar return
• E) your gross return on that investment

Recognize how vertical and horizontal integration impact a firm's production costs and efficiency.

Identify the benefits of diversification strategies in business.

Identify the role of synergy in increasing the output of combined business efforts.

Differentiate between various terms and strategies such as by-product synergy, brand recognition, and economies of scale versus economies of scope.

---

Definitions:

Formal Education

Structured learning that takes place within academic institutions, leading to recognized qualifications.

Productive Workers

Productive workers are those employees who directly engage in the production of goods or the provision of services, contributing to the output of a business.

Psychic Costs

Non-monetary costs related to emotional stress or mental effort involved in undertaking an activity or making a decision.

Fire Protection Program

encompasses the policies, practices, and tools aimed at preventing, mitigating, and responding to fires.