Which Theory Describes Behavior as a Multiplicative Relationship Among Expectancy

question 41

Multiple Choice

Which theory describes behavior as a multiplicative relationship among expectancy, incentive, and motive?

• A) Edwards's subjective expected utility model
• B) Atkinson's risk taking model
• C) Feather's decision making under uncertainty model
• D) Rotter's reinforcement model

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Definitions:

Net Present Value

The difference between the present value of cash inflows and the present value of cash outflows over a period of time.

Cash Payback Period

The duration it takes for a project or investment to repay its initial cost from the cash inflows it generates.

Annual Net Cash Flows

The difference between a company's cash inflows and outflows within a fiscal year.

Net Present Value

The difference between the present value of cash inflows and outflows over a period of time, used in capital budgeting to assess the profitability of an investment.