The Rate That Management Expects to Pay on Borrowed or Equity

question 45

Multiple Choice

The rate that management expects to pay on borrowed or equity funds is known as

• A) the hurdle rate.
• B) the cost of capital.
• C) the cutoff rate.
• D) all of these answer choices are correct.

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Definitions:

Primary Reinforcer

A stimulus that is naturally rewarding, such as food, water, or relief from pain.

Secondary Reinforcer

A stimulus that has become reinforcing through its association with a primary reinforcer, such as money being valued for its ability to purchase food or other basic needs.

Positive Reinforcer

A stimulus that, when presented after a behavior, increases the likelihood of that behavior occurring again.

Negative Reinforcer

A stimulus whose removal following a behavior increases the likelihood of that behavior being repeated in the future.