If a Project Has a Salvage Value Greater Than Zero

question 88

Multiple Choice

If a project has a salvage value greater than zero, the salvage value will

• A) have no effect on the net present value.
• B) increase the net present value.
• C) increase the payback period.
• D) decrease the net present value.

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Definitions:

High Blood Pressure

A condition where the long-term force of the blood against artery walls is high enough that it may eventually cause health problems, such as heart disease.

American Medical Association

A professional association of physicians in the United States dedicated to promoting the art and science of medicine and the betterment of public health.

Binomially Distributed

A probability distribution of a variable that represents the number of successes in a fixed number of independent trials, with only two possible outcomes.

Random Variable

A random variable is a variable whose values are outcomes of a random phenomenon.