Managers Who Are Evaluated Based on the Accounting Rate of Return

question 7

Multiple Choice

Managers who are evaluated based on the accounting rate of return model are reluctant to use ________ for capital budgeting decisions.

• A) payback period model
• B) real options model
• C) discounted cash flow models
• D) return on investment model

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Definitions:

Newspaper Journalists

Professionals who research, write, and report news stories for newspapers.

Decreased

Decreased means to lessen in size, amount, severity, or intensity.

Last Decade

A term referring to the most recent ten-year period from the current date.

Fourth Branch

An informal term referring to groups outside the three branches of the US government that influence decision-making, such as the media or interest groups.