Present Value Techniques

question 7

Multiple Choice

Present value techniques

• A)determine the effects of time value of money on future net income that will be generated.
• B)are a way of converting future dollars into their equivalent current dollars.
• C)provide more conservative results than similar time value of money computations.
• D)treat a dollar received today to be worth the value of a dollar to be received a year from today.

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Definitions:

Observational Learning

A learning process where individuals learn new behaviors or information by watching others.

Classical Conditioning

A learning process that pairs a natural stimulus with a response until the stimulus alone produces the response.

Operant Conditioning

Through Operant Conditioning, an individual's behavior is altered by the use of punishments or reinforcements to increase or decrease its frequency.

Insight Learning

A form of cognitive learning where the solution to a problem suddenly becomes clear without trial-and-error, often through understanding the underlying structure of the problem.