Investment Flows from One Country to Another Occur Based on the Investors

question 12

Multiple Choice

Investment flows from one country to another occur based on the investors'

• A)spot exchange rate when making the investment.
• B)nominal rate of return on the foreign investment.
• C)expected real rate of return on the foreign investment.
• D)the realised real rate of return on the foreign investment.

Recognize the long-term implications of capital investment decisions on operations.

Understand how depreciation impacts cash flow and investment analysis.

Calculate and understand the significance of the cash payback method in capital budgeting.

Understand the concept of payback period and how it is calculated.

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Definitions:

Ratio Schedules

Are partial reinforcement schedules in which behavior is reinforced as a function of how many times the behavior occurs—for example, rewarding someone every fifth time a desired behavior occurs.

Continuous Schedules

Work schedules or production plans that operate non-stop, typically 24 hours a day, often applied in industries that require constant operation.

Extinction

Also a term from reinforcement theory, extinction refers to the situation in which a behavior is followed by no consequences and eventually disappears.

Underpayment Inequity

A situation where a person perceives that they receive less compensation than they deserve, compared to others in similar positions.