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Illustrate How an Evaluator Might Mistakenly Use Criteria That Can

question 20

Essay

Illustrate how an evaluator might mistakenly use criteria that can be measured with high reliability but that does not represent the program's purpose very well.


Definitions:

Stated Interest Rate

The interest rate explicitly mentioned in the contract of a debt instrument, not taking into account compounding or any additional fees.

Yield Rate

The return on an investment, expressed as a percentage, accounting for the interest or dividends received from holding the investment.

Face Value

The nominal value or dollar value of a security stated by the issuer, typically referring to the value stated on a coin, banknote, stamp, or bond.

Straight-Line Method

A depreciation method that allocates an asset's cost evenly over its useful life.

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