Which of the Following Is a Partial Solution to Motivate

question 139

Multiple Choice

Which of the following is a partial solution to motivate managers to accept proposed investments that are projected to generate net losses for the initial years, in spite of the internal rate of return expected to be greater than the required rate of return?

• A) Evaluate managers based on long-term profitability
• B) Evaluate managers on the short-run expectations of investments
• C) Do not evaluate managers based on investments
• D) Do not allow managers to make decisions on which investments to accept

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Definitions:

Persuaded

The act of being convinced to do or believe something through reasoning or argument.

Influenced

The capacity or power of persons or things to be a compelling force on the actions, behavior, opinions, etc., of others.

Morally Respectable

Adhering to ethical principles and worthy of respect or admiration based on a sense of right and wrong.

Exemplification

A communication strategy where individuals present themselves as a model of desirable behaviors or attitudes.