In Capital Rationing, an Initial Screening of Alternative Proposals Is

question 1

Multiple Choice

In capital rationing, an initial screening of alternative proposals is usually performed by establishing minimum standards.Which of the following evaluation methods are normally used?

• A) Cash payback method and average rate of return method
• B) Average rate of return method and net present value method
• C) Net present value method and cash payback method
• D) Internal rate of return and net present value methods

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Definitions:

Threshold Stimulus

Stimulus resulting in a local potential just large enough to reach threshold and produce an action potential.

All-Or-None Contraction

A principle stating that a nerve or muscle fiber responds completely or not at all to a stimulus once the stimulus reaches a threshold value.

Muscle Fiber

A single, elongated muscle cell that can contract in response to stimulation.

Motor Unit

Single neuron and the muscle fibers it innervates.