Which of the Following Is Not One of the Advantages

question 14

Multiple Choice

Which of the following is not one of the advantages of expedited arbitration?

• A) It is faster
• B) It is less expensive
• C) It makes effective use of precedents
• D) Awards are less legalistic

---

Definitions:

NPV

Net Present Value, a calculation used to determine the present value of an investment by the sum of its future cash flows minus the initial investment.

Leveraged Lease

A financial arrangement in which a lessor uses borrowed funds to purchase an asset and then leases the asset to a lessee, who pays lease payments that cover the lessor's financing cost and provide a return.

Long-term Lease

A contractual agreement between a lessor and lessee for the use of an asset for a long period, typically exceeding one year.

Nonrecourse Basis

A financing arrangement where the lender can only seize the collateral securing a loan and cannot seek further compensation from the borrower, even if the collateral does not cover the full value of the defaulted amount.