Which of the Following Is True of Capitalization

question 28

Multiple Choice

Which of the following is true of capitalization?

• A) It is the same as discounting.
• B) It is more commonly used with prospective data.
• C) It is applied to a single benefit stream.
• D) It converts present values to future benefits.

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Definitions:

Denial and Repression

Defense mechanisms in psychology wherein denial involves refusing to acknowledge reality, while repression involves unconsciously blocking unpleasant thoughts and feelings.

Projection and Denial

Defense mechanisms; projection involves attributing one's own unacceptable thoughts or feelings to others, while denial involves refusing to acknowledge reality or facts.

Projection and Rationalization

Projection and rationalization are defense mechanisms; projection involves attributing one's own unacceptable thoughts or feelings to others, while rationalization involves justifying behaviors or feelings with seemingly logical reasons to avoid the true explanation.

Rationalization

A coping technique that involves providing logical or rational justifications for questionable behaviors or emotions to sidestep their real causes.