The Rate of Return on Investment Is the Main Determinant

question 133

True/False

The rate of return on investment is the main determinant of investment spending.

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Definitions:

Lend Money

The action of giving money to someone with the expectation that it will be paid back in the future, possibly with interest.

Note

A written promise or obligation to pay a specified sum of money to a specified person at a specified time.

Secondary Liability

Secondary liability refers to a legal obligation that arises not from direct involvement in a wrongful act, but from a failure to properly oversee or control the primary party responsible, or from benefiting from the act.

Negotiable Instrument

An official paper that assures the delivery of a particular monetary amount, which can be demanded at any moment or at an agreed-upon time, identifying the person who will make the payment.