Which of the Following Would Not Be Considered a Good

question 127

Multiple Choice

Which of the following would not be considered a good managerial tool in making a decision for determining a capital investment?

• A) evaluating further assets that are dissimilar in nature or have different useful lives
• B) using only quantitative measures to evaluate asset purchases
• C) analyzing lease versus purchase option
• D) considering income tax ramifications

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Definitions:

Government Policy

Actions and strategies that governments enact to achieve economic, social, or political objectives.

Consumer Surplus

The distinction between the price consumers intend to pay for a product or service and the price they actually pay.

Government Policy

Laws, regulations, and actions taken by a government to monitor, regulate, or influence economic, social, or environmental outcomes.

Producer Surplus

The distinction between what sellers expect to earn from a good or service and the actual compensation they receive.