Frank Company, Which Has Total Assets of $300,000, Has an Opportunity

question 137

Multiple Choice

Frank Company, which has total assets of $300,000, has an opportunity to invest $80,000 in a new project that will generate a return of $16,000 per year. Given this information, if Frank Company's acceptable return on investment is 22%, it will probably:

• A) Accept the project, but also look for another project
• B) Reject the project
• C) Increase its return on investment by accepting the project
• D) Not be able to make a decision based on the given information

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Definitions:

Error Avoidance

A strategy or set of practices aimed at reducing the likelihood or impact of mistakes in a work or operational environment.

Error-Management Elements

Components of a learning strategy that encourage the examination and understanding of errors, promoting skill acquisition and retention.

Negative Feedback

A response or information that indicates a deviation from a desired or intended state, often used as a guide for improvement or adjustment in behavior or processes.

Error-Recovery Strategies

Techniques and processes used to identify, correct, and learn from errors made during the execution of tasks.