A(n)_____ Implies an Increase in Human Capital

question 89

Multiple Choice

A(n) _____ implies an increase in human capital.

• A)addition of a new machine that laborers use in production
• B)increase in wealth
• C)more educated labor force
• D)increase in the number of schools in a country
• E)increase in the quantity of the capital used by a firm

Evaluate the historical drivers behind the growth of corporate social responsibility in the 1960s and 1970s.

Understand the concept of Present Value of Growth Opportunities (PVGO) and its influence on the firm's valuation.

Calculate free cash flow to the firm and to the equity holders.

Determine the impact of company financial policies (e.g., plowback ratio, EBIT, etc.) on firm value and investor returns.

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Definitions:

Prefrontal Cortex

The part of the brain located at the front of the frontal lobe, associated with complex cognitive behavior, personality expression, decision making, and moderating social behavior.

Phineas Gage

A historically significant individual in neuropsychology whose personality changes after surviving a severe brain injury helped early psychologists understand the brain's role in personality and behavior.

Long-term Plans

Strategies or goals set to be achieved in the future, often involving a series of steps or actions to be taken over an extended period.

Startle Response

A quick, automatic reaction to a sudden or threatening stimulus, often a protective mechanism.