What Are the Two Most Common Factor Categories Used in the Rating

question 42

Multiple Choice

What are the two most common factor categories used in the rating scales method?

• A) job-related and personal characteristics
• B) training and development opportunities
• C) work output and managerial qualities
• D) interpersonal and flexibility skills

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Definitions:

Discount Rate

The interest rate used to discount future cash flows to their present value, often used in investment valuation and project evaluation.

Annual Net Cash Inflows

The total amount of cash received minus cash expenses over a year.

Net Present Value

The discrepancy in the present valuation of incoming and outgoing cash flows within a certain timeframe.

Useful Life

The estimated duration of time a fixed asset is considered to be productive for its intended use.