Sharon Is of Average Height and Build

question 55

Multiple Choice

Sharon is of average height and build. Although she doesn't appear to be overweight, a personal trainer measured her body fat at 30%. This discrepancy is likely due to

• A) Sharon having low bone density.
• B) Sharon having a lower-than-average amount of muscle mass.
• C) Sharon having more dense form of fat compared to most people.
• D) Sharon having a higher-than-average amount of muscle mass.

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Definitions:

Straight-line Depreciation

A method of allocating the cost of a tangible asset over its useful life in equal yearly amounts.

Net Income

The comprehensive earnings of a corporation after expenses and taxes have been taken away from its revenues.

Discount Rate

A rate used to determine the present value of future cash flows, reflecting the time value of money and risk of the cash flows.

Profitability Index

A calculation that determines the relative profitability of an investment, indicating the value created per unit of investment.