A) Inflation rate; B) Interest rate; C) Not doing something; 2. People prefer to receive cash: A) Sooner than later; B) Later than sooner; C) Doesn't matter when; 3. Financial decisions must be based on: A) Risk assessment; B) Time adjusted cash flows; C) Inflation assessment; -. Future vale is equal: A) Initial investment X (1+ k)"; 3) Initial investment X (1+ k.n); C) A+B The term (1+k) is known not 11. The additional value added to the current value of the corporation by accepting a particular project is known as: A) Net profit; B) Net present value; C) A+B; 12. From the decision making standpoint, the financial managers should selected the project that have: A) Negative NPV; B) Positive NPV; C) NPV = 0; 13. The Internal rate of return of a project is defined as the discounted rate that makes a project's NPV: A) Positive; B) Equal to 0; C) Negative; 14 The financial managers should only accept

A) Inflation rate; B) Interest rate; C) Not doing something; 2. People prefer to receive cash: A) Sooner than later; B) Later than sooner; C) Doesn't matter when; 3. Financial decisions must be based on: A) Risk assessment; B) Time adjusted cash flows; C) Inflation assessment; -. Future vale is equal: A) Initial investment X (1+ k)"; 3) Initial investment X (1+ k.n); C) A+B The term (1+k) is known not 11. The additional value added to the current value of the corporation by accepting a particular project is known as: A) Net profit; B) Net present value; C) A+B; 12. From the decision making standpoint, the financial managers should selected the project that have: A) Negative NPV; B) Positive NPV; C) NPV = 0; 13. The Internal rate of return of a project is defined as the discounted rate that makes a project's NPV: A) Positive; B) Equal to 0; C) Negative; 14 The financial managers should only accept

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter11: Capital Budgeting Decisions

Section: Chapter Questions

Problem 16MC: When using the NPV method for a particular investment decision, if the present value of all cash...

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