An Example of an External Factor That Affects a Corporation's

question 65

Multiple Choice

An example of an external factor that affects a corporation's risk or beta, and hence required rate of return would be ________ by the company.

• A) a change in the financing mix used
• B) toxic spills
• C) a change in the asset mix
• D) a change in top management.

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Definitions:

Connectionist Model

A cognitive model based on the concept that mental phenomena can be described by interconnected networks of simple and uniform units.

Parallel Distributed Processing

A model for neural computation that suggests information is processed simultaneously across different pathways in the brain.

Pattern of Activation

In neuroscience and psychology, this term refers to how different neurons or brain regions are activated in a specific sequence or arrangement to perform a function or represent information.

Reality Monitoring

The process by which individuals are able to distinguish memories of actual events from those of imagined events.