If a Firm Is Experiencing No Capital Rationing,it Should Accept

question 75

True/False

If a firm is experiencing no capital rationing,it should accept all investment proposals whose accounting rate of return is equal to or greater than the weighted average cost of capital.

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Definitions:

Precontemplation

The stage in which individuals are not yet considering a change in their behavior or are unaware of the need for change.

Contemplation

The action of thinking deeply or considering something carefully over a period of time.

Self-Efficacy

A person's confidence in their ability to carry out actions required to achieve certain performance goals.

Outcome Expectations

The beliefs that carrying out a specific behavior will lead to valued outcomes.