The Average Output Produced Per Worker Is One Way of Measuring

question 14

Multiple Choice

The average output produced per worker is one way of measuring

• A)inflation.
• B)the interest rate.
• C)employment.
• D)productivity.

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Definitions:

Rate of Return

The gain or loss of an investment over a specified period, expressed as a percentage of the investment's initial cost.

Net Present Value

A calculation that compares the present value of a project’s cash inflows with the present value of its cash outflows, used in capital budgeting to assess profitability.

Payback Period

The length of time required to recoup the initial investment in a project, ignoring the time value of money.

Capital Investment

Funds invested in a business with the aim of furthering its business objectives, such as purchasing assets or funding new growth initiatives.