Question
Which of the following best describes the discount
factor used in capital investment decision-making ?Solution
The discount factor used in capital budgeting is the rate of return that a company could earn by investing in another project or security of similar risk. This rate is considered as the opportunity cost of capital for the business. It is the rate that investors could earn elsewhere on investments with similar risks. Therefore, the discount rate is used to evaluate the profitability of the investment opportunity by discounting the future cash flows back to their present value.
Statements: All writers are lyricists.
Some lyricists are singers.
Conclusions: I. Some writers are singers.
II. Some writers are...
Statements:
Only a few rats are rabbit. ...
Statements :
Some pens are tables.
No table is a book.
Some books are threads
Some threads are boxes.
Conclusions: ...
Statement:
Some pipes are tanks.
All tanks are lids.
All lids are covers.
Conclusion:
I. Some covers are lids.
Statement:
Some dog are tigers.
Only a few tigers are lions.
All lions are cat.
Conclusion:
I. Some dog being lion is...
Conclusions:
A few platforms may be trains.
Some tickets being passenger is a possibility.
Statements:
Statements:All circles are rectangles.
No rectangle is a square.
Conclusions:I. No square is a rectangle.
II. Some rectangles are...
Statements:
All Textiles are Clothes.
Only few Clothes are Inputs.
Only few Inputs are Output.
No Output is a Unit.
C...
Conclusions:
Some pens are pencil.
No pencil is black.
Statements:
- Three statements are given, followed by three conclusions numbered I, II and III. Assuming the statements to be true, even if they seem to be at variance w...
