If a Proposal's Profitability Index Is Greater Than One, The

question 33

Multiple Choice

If a proposal's profitability index is greater than one, the:

• A) net present value is negative.
• B) net present value is positive.
• C) net present value cannot be determined by the profitability index.
• D) proposal should be rejected.

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Definitions:

Social Facilitation

The tendency for people to perform differently when in the presence of others than when alone, typically showing improved performance on simple tasks.

Compliance

The act of conforming to the wishes, demands, or regulations of others, often to fit in with a group or society.

Conformity

The act of matching attitudes, beliefs, and behaviors to group norms or societal standards.

Social Preference

The phenomena by which individuals display a greater affinity or liking for some people, objects, or activities over others within a social context.