The Misery Index Is Calculated as the

question 2

Multiple Choice

The misery index is calculated as the

• A)inflation rate plus the unemployment rate.
• B)unemployment rate minus the inflation rate.
• C)actual inflation rate minus the expected inflation rate.
• D)natural unemployment rate times the inflation rate

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Definitions:

Expected Total Cash Flows

The projection of all the cash that is anticipated to be received or paid out over a certain period of time in the future.

Cash Payback Period

The time period required for the returns from an investment to repay the initial capital outlay.

Annual Net Cash Flows

This term refers to the amount of money that flows in and out of a business over a year after all expenses have been accounted for.

Expected Total Cash Flows

An estimation of all cash inflows and outflows associated with an investment over its expected life, used to gauge its profitability.