Which One of These Is the Best Indicator That Acquiring

question 79

Multiple Choice

Which one of these is the best indicator that acquiring a firm is a good idea?

• A)The firm has a positive NPV at an appropriate discount rate.
• B)The firm has a negative NPV at all positive discount rates.
• C)The firm has a positive NPV at the riskless rate of return.
• D)The firm has increasing cash inflows.
• E)The firm is growing on an annual basis.

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Definitions:

Racial Bias Effect

The influence of race on judgments and behaviors, often leading to unfair treatment and prejudice towards racial outgroups.

Linguistic Intergroup Bias

A tendency to describe stereotypic behaviors (positive ingroup and negative outgroup) in abstractterms while describing counterstereotypic behaviors (negative ingroup and positive outgroup) inconcrete terms.

Counterstereotypic Behaviors

Actions or behaviors that go against common stereotypes or societal expectations associated with a particular group.

Stereotypic Behaviors

Repetitive or ritualistic movements, postures, or utterances, often indicative of anxiety, stress, or developmental conditions.