Which of the Following Categories Would Be Least Likely to Require

question 123

Multiple Choice

Which of the following categories would be least likely to require annual adjustments in a capital budgeting analysis due to the effects of inflation?

• A)sales
• B)expenses
• C)working capital
• D)depreciation expense

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Definitions:

Death Benefit

The sum paid to a beneficiary upon the insured’s death, provided through a life insurance policy.

Savings Plan

A program that encourages regular saving by setting aside a certain amount of income for future use, often with tax advantages or interest accrual.

Actuarially Determined

Calculated based on actuarial methods and assumptions, often referring to pension plan contributions or insurance risk assessments.

Pension Funds

Investment pools that collect and invest contributions from workers and employers to provide retirement benefits to the workers.