Dave Is a Handsome and Famous Celebrity

question 62

Multiple Choice

Dave is a handsome and famous celebrity.He has been in a dating relationship with Gabriela,a beautiful and popular actress,for the past two months but he doesn't feel that strongly committed to their relationship.Recently,Dave has been working on a new movie and several women have expressed their interest in getting to know him better.Dave is now contemplating whether he should stay with Gabriela or explore other tempting alternative relationships.According to the investment model,what will Dave probably do next?

• A) He will probably ask Gabriela to marry him.
• B) He will probably ask Gabriela to move in with him.
• C) He will probably stay with Gabriela for at least another year so that he can give their relationship a second chance.
• D) He will probably break up with Gabriela and give in to the temptation of dating other women.

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Definitions:

Capital Lease

A lease agreement in which the lessee essentially acquires the ownership rights of the leased asset, also referred to as a finance lease.

Residual Value

The estimated salvage value or the worth of an asset at the end of its useful life.

Lease Payments

Regular payments made by a lessee to a lessor for the use of an asset over a specified period.

Lease Liability

An obligation representing the present value of future lease payments that a lessee is committed to making under a lease agreement.