A Z Score Scale Has Sometimes Been Referred to as a "Zero

question 111

Multiple Choice

A z score scale has sometimes been referred to as a "zero plus or minus one" scale because a z score scale

• A) has a mean set at 0 and a standard deviation set at 1.
• B) has a mean set at 0 and a standard deviation set at -1.
• C) has a standard deviation set at 0, and a mean set at 1.
• D) None of these

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Definitions:

Salvage Value

The expected end-of-life residual value of an asset.

Net Present Value

Net present value is the calculation to determine the present value of a series of future cash flows minus the initial investment cost, used to assess the profitability of investments.

Net Cash Inflows

The total amount of money received from an investment, project, or business operation, after deducting all associated cash outflows.

Discount Rate

The discount rate applied in the computation of present value through discounted cash flow analysis for future cash flows.