The Rate of Return on a Business Project Equals

question 168

Multiple Choice

The rate of return on a business project equals:

• A) (Cost of project / revenue from project) * 100.
• B) (Revenue from project / cost of project) * 100.
• C) (Revenue from project * cost of project) * 100.
• D) (Revenue from project - cost of project) / (Cost of project) * 100.

---

Definitions:

Expected Payoff

Expected payoff is the anticipated value of an investment or decision under uncertainty, calculated as the weighted average of its possible outcomes.

Nash Equilibrium

A concept in game theory where each player's strategy is optimal, considering the strategies of other players, and no player has anything to gain by changing only their own strategy.

Pure Strategies

In game theory, a strategy where a player consistently follows a specific action or plan whenever a particular situation arises.

Dominant Strategy

In game theory, a strategy that is the best for a player to follow, regardless of the strategies chosen by other players.