When attempting to predict the future, managers will tend to take shortcuts because they do not have perfect knowledge. These simple guidelines based on experience are called ________

Which of the following statements pertaining to the grace period and reinstatement provisions in health insurance policies is NOT correct?

A) Warren's medical expense policy was reinstated on September 30. He became ill and entered the hospital on October 5. His hospital expense will not be paid by the insurer. B) Under a health policy's reinstatement terms, insured losses from accidental injuries and sickness are covered immediately after reinstatement. C) Craig's health policy has a grace period of 31 days. He had a premium come due June 15 while he was on vacation. He returned home July 7 and mailed his premium the next day. His policy remained in force. D) States may require grace periods of 7, 10, or 31 days, depending on the mode of premium payment or term of insurance.

Breakeven cash inflow refers to ________

A) the minimum level of cash inflow necessary for a project to be acceptable, that is, NPV greater than zero B) the minimum level of cash inflow necessary for a project to be acceptable, that is, NPV less than zero C) the minimum level of cash inflow necessary for a project to be acceptable, that is, IRR less than zero cost of capital D) the minimum level of cash inflow necessary for a project to be acceptable, that is, IRR equals zero