The Normal Rate of Return Is the

question 166

Multiple Choice

The normal rate of return is the

• A) average rate of return earned in an industry at a given point in time.
• B) opportunity cost of capital.
• C) return on capital associated with zero accounting profits.
• D) the amount paid to an investor when the firm is an on-going concern.

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Definitions:

Repudiated

Referring to the rejection or denial of a claim, agreement, or duty typically in a legal context.

Offer Accepted

The confirmation by one party to agree to the terms of an offer made by another party, leading to a contract.

Common Law

A legal system based on court decisions and customs, as opposed to statutory laws passed by legislatures.

Liability to Customers

The legal responsibility of a business to compensate customers for harm, loss, or injury resulting from its products or services.