Figure 19-1 Assume the Division's Current ROI Is 10 Per Cent and Project

question 11

Multiple Choice

Figure 19-1 $$\begin{array} { c c c } \text { Project } & \text { Income } & \text { Investment } \\\text { A } & £ 40,000 & £ 800,000 \\\text { B } & 44,000 & 400,000 \\\text { C } & 46,875 & 625,000\end{array}$$ Assume the division's current ROI is 10 per cent and the firm's minimum required rate of return is 6 per cent.
-Refer to Figure 19-1 above. If you were the president of the firm, which projects would you want the division manager to accept?

• A)Projects A, B, and C
• B)Projects B and C
• C)Project A only
• D)Project B only

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Definitions:

Ratio Schedule

In the context of behavioral psychology, a type of reinforcement schedule in which a response is reinforced only after a specified number of responses have occurred.

Interval Schedule

A type of reinforcement schedule where reinforcement is given to a response after a specific period of time has passed.

Positive Reinforcer

A positive reinforcer is any stimulus that, when introduced after a behavior, increases the frequency or likelihood of that behavior occurring again.

Negative Reinforcer

In behaviorism, an unpleasant stimulus that, when removed following a behavior, increases the likelihood of that behavior being repeated.