An Interest Rate of 12% a Year Is the Same

question 33

True/False

An interest rate of 12% a year is the same as 6% for 2 months.

Apply the concept of contribution margin to determine the most profitable product mix.

Calculate and interpret the accounting rate of return on an investment.

Understand and apply net present value (NPV) and investment decision rules in selecting investment projects.

Evaluate the financial impact of decision alternatives in special scenarios such as scrapping or rebuilding units.