Which One of the Following Is the Primary Determinant of an Investment's

question 44

Multiple Choice

Which one of the following is the primary determinant of an investment's cost of capital?

• A)Life of investment
• B)Initial cash outlay
• C)Level of risk
• D)Source of funds used for the investment
• E)Investment's net present value

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Definitions:

Aristocracy

A class of people holding exceptional rank and privileges, especially the hereditary nobility.

Governing Noble Elite

A social class of people with high status and power, often involved in the administration and ruling of a country or area.

Legitimacy

The recognition and acceptance of an authority, institution, or government as right and proper, often derived from law, custom, or consent.

Political Organization

Refers to the way a society creates and applies structures and systems of governance, including the distribution of power and the management of public affairs.