The Use of Words Such as Mistake, Problem, Error, Damage

question 21

Multiple Choice

The use of words such as mistake, problem, error, damage, loss, and failure:

• A) emphasizes the pleasant aspects of a message by bringing in the contrast.
• B) puts the reader in the right state of mind.
• C) is considered unethical in business communication.
• D) is highly destructive of goodwill.
• E) emphasizes on the self-centered view of the reader.

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Definitions:

Capital Budgeting Methods

Techniques used by companies to evaluate the desirability of investments or expenditures. Major methods include net present value (NPV), internal rate of return (IRR), and payback period.

Accounting Rate of Return

A measure of the return expected on an investment, calculated by dividing the average annual profit by the initial investment cost.

After-Tax Net Income

The amount of profit a company remains with after all tax expenses have been deducted from its total income.

Accounting Rate of Return

A financial metric used to assess the profitability of an investment, calculated as the average annual return over the investment's life divided by the initial investment cost.