The Liberty Co

question 67

Multiple Choice

The Liberty Co.is considering two projects.Project A consists of building a wholesale book outlet on lot #169 of the Englewood Retail Center.Project B consists of building a sit-down restaurant on
Lot #169 of the Englewood Retail Center.When trying to decide whether to build the book outlet or
The restaurant, management should rely most heavily on the analysis results from the _____
Method of analysis.

• A)profitability index
• B)internal rate of return
• C)payback
• D)net present value
• E)accounting rate of return

---

Definitions:

Implement the Decision

The process of carrying out choices or plans of action to achieve a desired goal.

Preferred Course of Action

The most favorable or desirable path to take in making a decision or solving a problem.

Decision-making Process

A step-by-step approach to making choices or solving problems, ranging from gathering information to evaluating alternatives and making the final choice.

Implemented Solutions

Strategies or methods that have been put into action in order to address and solve specific problems or challenges.