The Rate That Management Expects to Pay on Borrowed or Equity

question 178

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.

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Definitions:

Negative Reinforcement

A process in behavior modification where the removal of an undesirable or unpleasant outcome after the display of a behavior increases the likelihood of the behavior being repeated in the future.

Primary Reinforcer

A stimulus that fulfills a basic biological need or instinct, such as food, water, or sleep, and is inherently rewarding.

Secondary Reinforcer

A stimulus that has become rewarding through its association with a primary reinforcer.

Negative Reinforcer

An unpleasant or aversive stimulus that, when removed or avoided following a behavior, increases the likelihood of that behavior being repeated.