The Method of Evaluating Long-Term Capital Investments That Finds the Number

question 104

Multiple Choice

The method of evaluating long-term capital investments that finds the number of years it will take before the cash inflows from a project equal the amount of the original investment is the

• A) Payback method
• B) Net present value method
• C) Internal rate of return method
• D) Accounting rate of return method

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Definitions:

Service Sector

A segment of the economy that involves providing services rather than producing goods, including industries like banking, healthcare, and education.

Class Inequality

The disparity in access to resources, opportunities, and rights among different social classes.

Gender Inequality

The social process by which people are treated differently and disadvantageously, under similar circumstances, on the basis of gender.

Technological Improvements

Advances and innovations in technology that enhance efficiency, productivity, and capabilities within various sectors.