At a Technology Firm, Human Capital Would Be Critical to Forming

question 80

True/False

At a technology firm, human capital would be critical to forming and using the firm's capabilities in customer relationships, scientific and research skills, and technical skills in hardware, software, and services.

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Definitions:

Working Capital

The difference between a company's current assets and current liabilities, indicating the liquidity and operational efficiency.

Straight-Line Depreciation

A way of allocating the financial burden of a material asset over its effective lifespan in identical yearly portions.

Discount Rate

The interest rate used to discount future cash flows to present value to account for risk and time value of money.

Working Capital

The gap between a firm's current assets and its current liabilities, showcasing its short-term financial stability.