Which One of the Following Statements Is Correct

question 85

Multiple Choice

Which one of the following statements is correct?

• A)The net present value is a measure of profits expressed in today's dollars.
• B)The net present value is positive when the required return exceeds the internal rate of return.
• C)If the initial cost of a project is increased, the net present value of that project will also increase.
• D)If the internal rate of return equals the required return, the net present value will equal zero.
• E)Net present value is equal to an investment's cash inflows discounted to today's dollars.

---

Definitions:

FSGO

The Federal Sentencing Guidelines for Organizations, a framework that incentivizes organizations in the United States to install and maintain ethics and compliance programs to mitigate punishment for offenses.

Ethical Compliance

Adhering to laws, regulations, standards, and ethical practices that are applicable to an organization's operations and conduct.

Probation

A period of supervision over an offender, ordered by the court instead of serving time in prison.

Federal Sentencing Guidelines

A set of rules that set out a uniform sentencing policy for individuals and organizations convicted of felonies and serious (Class A) misdemeanors in the United States federal courts system.