Of the Following Explanations, Which Most Accurately Explains What Thomas

question 764

Multiple Choice

Of the following explanations, which most accurately explains what Thomas calls the counterfactual argument from qualifications?

• A) Affirmative action would be unnecessary because if affirmative action appointees were the most qualified candidates for a position, then they would be hired by virtue of their merits.
• B) Affirmative action would be unnecessary if being a woman or a minority itself counted as a qualification for certain jobs.
• C) Affirmative action is necessary because if there were no women or minority faculty in universities, then there would not be qualified role models for women and minority students.
• D) Affirmative action is unnecessary since knowledge is color blind and universities should pursue knowledge as their aim, even if this means a lack of diversity in their faculties.

Calculate after-tax lease payments and understand their impact on financial decisions.

Recognize the importance of the cost of borrowed funds and the tax rate in making leasing versus buying decisions.

Determine the incremental annual cash flow associated with leasing relative to purchasing.

Understand how the after-tax cost of debt influences leasing versus buying decisions.

---

Definitions:

Tax Deductible

Expenses that can be subtracted from gross income, lowering the taxable income and thus the amount of tax owed.

Investor's Perspective

The viewpoint or considerations of an individual or entity actively investing or planning to invest in markets, focusing on potential risks and returns.

Unusually Risky

Describes investments or actions that carry a higher than normal level of risk, often due to uncertain outcomes or volatile conditions.

IRRs

The Internal Rate of Return is a measurement used in the process of capital budgeting to assess the potential profitability of investments.