The Two General Categories of Theories of Thinking Are

question 70

Multiple Choice

The two general categories of theories of thinking are:

• A) divergent and convergent.
• B) functional and hierarchical.
• C) creative and technical.
• D) fact-based and value-based.
• E) transformational and transactional.

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Definitions:

Annual Operating Income

The profit earned from a firm's normal core business operations, excluding deductions of taxes and interest charges.

Average Rate of Return

A financial metric used to estimate the profitability of an investment, calculated by dividing the average annual profit by the initial investment cost.

Internal Rate of Return

The discount rate that makes the net present value (NPV) of all cash flows from an investment equal to zero.

Net Present Value

A financial metric that calculates the difference between the present value of cash inflows and outflows over a period of time.