Which of the following is the best example of a design defect?
A. The Ford Pinto's gas tank was aligned in such a way as to greatly increase the chances of a fire in the event that the car was rear-ended by another car.
B. The instructions for taking a heart medication drug did not say anything about studies that showed the drug increased the chances of a heart attack by 30%.
C. Storm was injured when she tried to climb up a bookshelf to retrieve her purse that had been placed on top of the bookshelf by some meddling kids.
D. A machine at the Sanchez Company's factory malfunctioned and this caused several of its products to be incorrectly assembled.
Answer: A. The Ford Pinto's gas tank was aligned in such a way as to greatly increase the chances of a fire in the event that the car was rear-ended by another car.
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Royce has designed a new catalytic converter. He is likely to manufacture this _____________________
a. Through a contract manufacturer b. In his home c. In a mall or strip center d. Any of the above is possible
The average net income of a project divided by the project's average book value is referred to as the project's:
A. required return. B. market rate of return. C. internal rate of return. D. average accounting return. E. discounted rate of return.