A Wristwatch Suddenly Stops Working

question 31

Multiple Choice

A wristwatch suddenly stops working.After replacing the battery,the watch starts working again.Which statement correctly describes the situation from the perspective of the scientific method?

• A)This proves that a dead battery was the reason the wristwatch stopped working.
• B)This substantiates the theory that all wristwatches require functional batteries.
• C)This is consistent with the hypothesis that a dead battery caused the wristwatch to stop working.
• D)This leads to the prediction that a battery is required for wristwatch operation.

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Definitions:

Required Rate

The minimum return or yield that investors seek when investing in a security, often influenced by the risk associated with the investment.

Internal Rate of Return

A financial metric used to evaluate the profitability of an investment, indicating the annual return that makes the net present value of all cash flows equal to zero.

Cash Inflows

The receipt of money or cash equivalents into the business from various sources, including sales, investment income, and financing activities.

Required Rate

The minimum return an investor expects to achieve by investing in a project or asset.