All Else Being Equal, a Company Would Choose to Invest

question 110

Multiple Choice

All else being equal, a company would choose to invest in a capital asset if which of the following is true?

• A)If the payback period equals the amount invested
• B)If the expected accounting rate of return is less than the required rate of return
• C)If the expected accounting rate of return is greater than the required rate of return
• D)If the average amount invested is equal to the net cash inflows

---

Definitions:

Free Associate

A psychoanalytic technique where the patient speaks freely to reveal unconscious thoughts and feelings.

Psychoanalyst

A therapist who practices psychoanalysis, exploring unconscious motives and conflicts in mental disorders.

Talk Therapy

A type of psychotherapy that involves verbal communication between a patient and a therapist to address and treat mental health issues.

Psychoanalysis

A therapeutic approach and theory of psychology developed by Sigmund Freud, which emphasizes exploring unconscious motives and conflicts.