Which of the Following Statements Regarding the Valuing of Costs

question 30

Multiple Choice

Which of the following statements regarding the valuing of costs and benefits is NOT correct?

• A) Because competitive markets exist for most commodities and financial assets, we can use them to determine cash values and evaluate decisions in most situations.
• B) The first step in evaluating a project is to identify its costs and benefits.
• C) In the absence of competitive markets, we can use one-sided prices to determine exact cash values.
• D) Competitive market prices allow us to calculate the value of a decision without worrying about the tastes or opinions of the decision maker.

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Definitions:

Neuron-produced Chemicals

Chemicals, such as neurotransmitters, that are produced by neurons to transmit signals across the synapse to another neuron.

All-or-none Response

A principle that states a neuron fires with the same potency each time, although frequency can vary; it either fires or doesn't.

Electrical Charge

A fundamental property of matter that is responsible for electrical phenomena, existing in a positive or negative form.

Threshold

The level of intensity that must be exceeded for a certain reaction, phenomenon, result, or condition to occur or be manifested.