How Common Is the Neolocal Residence Pattern Practiced by Most

question 46

Multiple Choice

How common is the neolocal residence pattern practiced by most North Americans?

• A) It is very rare, being seen in only about 5 percent of known societies.
• B) It is practiced by over half of all known societies.
• C) It is fairly uncommon, being found in about one quarter of known societies.
• D) It is nearly universal, being found in 99 percent of known societies.

---

Definitions:

Payback Period

The payback period is the time it takes for an investment to generate cash flows sufficient to recover its initial cost.

Net Present Value

A calculation that compares the present value of cash inflows to the present value of cash outflows over a period of time, used to assess the profitability of an investment.

Payback Period Method

A simple calculation that divides the initial investment by the annual cash inflows to determine how long it will take to recoup the initial investment.

Capital Budgeting

The process of planning and managing a firm's long-term investments in projects and assets.