Evaluators Must Be Very Careful to Be Sure That They

question 25

Multiple Choice

Evaluators must be very careful to be sure that they understand the actual purpose of a request for an evaluation because

• A) many stakeholders talk about evaluation in terms that sound like summative evaluation when they really want to improve the program.
• B) most program staff members are too willing to disrupt the service program to accommodate the evaluation.
• C) the demand for evaluation is so widespread that program staff are eager to participate.
• D) stakeholders are eager to apply all recommendations from an evaluator.

Understand the concept of the time value of money and its exclusion in average accounting return (AAR) calculations.

Recognize the basis of average accounting return (AAR) calculations and their implications for investment decisions.

Compare and contrast the payback and discounted payback methods, emphasizing their biases and financial perspectives.

Understand the concept of internal rate of return (IRR) and its role in capital budgeting decisions, including the relationship with a firm's required return.

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Definitions:

Delta

A triangular electrical connection arrangement of three components or circuits.

Wye

A configuration for electrical circuits or networks where three branches converge at a single point, often used in three-phase systems.

Turns Ratio

Turns ratio refers to the ratio of the number of windings in the primary coil to the number of windings in the secondary coil of a transformer, affecting voltage level.

Primary Voltage

The voltage at the primary winding of a transformer, which is transformed to a different voltage level at the transformer's secondary winding.