Use the Following to Answer Question(s)

question 154

Multiple Choice

Use the following to answer question(s) :
Exhibit: Production Possibilities Curve-Military and Civilian Goods

-(Exhibit: Production Possibilities Curve-Military and Civilian Goods) A movement from point G to point U could be a representation of what happened during:

• A) World War II.
• B) the Great Depression.
• C) the postwar expansion following World War II.
• D) a period of rapid economic growth.

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Definitions:

IRR

Internal Rate of Return, a discount rate that makes the net present value (NPV) of all cash flows from a particular project equal to zero.

Cost Of Capital

The minimum return that a company must earn on existing asset base to satisfy its creditors, owners, and other providers of capital.

Capital Structure

The mix of different forms of capital used by a firm to finance its overall operations and growth, including debt, equity, and any hybrid securities.

Capital Components

The mix of debt, equity, and other financial instruments used by a company to fund its operations and growth.