For a Class Action Suit to Be Valid, It Must

question 47

Multiple Choice

For a class action suit to be valid, it must:

• A) involve several people with the same problem.
• B) involve a national retail store.
• C) be a case that would not be handled by an attorney.
• D) involve low-income individuals.
• E) be a legal problem against a government agency.

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Definitions:

Discount Factor

A multiplier used in time value of money calculations to determine the present value of a future sum or cash flow.

Straight-Line

A method of calculating depreciation of an asset, whereby its cost is evenly spread over its useful life.

Cash Payback Period

The time it takes for a business to recover its investment in a project solely from cash flows, used to assess the risk or attractiveness of an investment.

Depreciation Expense

The systematic allocation of the cost of a tangible asset over its useful life, reflecting the consumption of the asset.