Alice Lends $200,000 for Each New Idea

question 55

Multiple Choice

Alice lends $200,000 for each new idea.Alice's history is that she selects low-risk projects or ideas that hit 50% of the time.What rate of return must each successful project pay Alice for her to break even?

• A)0%
• B)50%
• C)100%
• D)200%

Apply budgeting principles in various organizational contexts (i.e., businesses and non-profit organizations).

Differentiate between different budgeting techniques and their application in the private and public sector.

Analyze financial performance based on budgeted vs. actual outcomes.

Understand the importance of flexible budgeting and its impact on operational efficiency.

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Definitions:

Goodwill

The value of a business beyond its tangible assets, including its reputation and patronage. Also, a favorable condition and overall atmosphere of trust that can be fostered between parties conducting business.

Negative Message

Communication that conveys a refusal, rejection, or other unfavorable information, often requiring careful wording to maintain goodwill.

Apologies

Expressions of regret for past actions or statements, often used to mend relationships or acknowledge mistakes.

Maintain Goodwill

The ongoing effort to foster positive relationships and perceptions among stakeholders, customers, or within a community.