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Why is it particularly difficult to manage service operations?
Nonfinancial Information
Information that is not monetary in nature, such as customer satisfaction, employee turnover, and operational efficiency, used in decision making.
Unprofitable Segment
A division or branch of a company that does not generate profit and may cause a financial drain on the business.
Hurdle Rate
The minimum rate of return on an investment that is required by a manager or investor to proceed with the investment.
Cash Payback Method
A capital budgeting technique that estimates the time required to recoup the initial investment through cash flows.
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