Economic Value Added

question 28

Multiple Choice

Economic value added:

• A)encourages segment managers to accept only new capital projects with a return on investment (ROI)that exceed the current ROI.
• B)of $100,000 indicates the segment earned $100,000 for the company.
• C)of $20,000 indicates the segment's actual earnings (adjusted for biasing effects of accounting conservatism)exceeded the company's cost of capital by $20,000.
• D)is considered an inferior method of evaluating investment center performance.

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Definitions:

Motor Units

Refers to the combination of a motor neuron and the skeletal muscle fibers innervated by that motor neuron's axonal terminals.

Muscle Fibers

Long, slender cells that make up muscles, capable of contracting to produce movement in parts of the body.

Trained Muscle

Muscle that has undergone physiological changes due to exercise, enhancing its strength, endurance, or size.

Anaerobic Respiration

A form of respiration using electron acceptors other than oxygen, often occurring in muscle cells during intense exercise when oxygen is scarce.