If the Net Present Value of an Investment Project Is

question 45

Multiple Choice

If the net present value of an investment project is positive, then the ____.

• A) project would be unacceptable under the internal rate of return method
• B) project would be acceptable under the payback method
• C) project's rate of return is greater than the firm's cost of capital
• D) All of these are correct

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Definitions:

Empowered

Given the authority, power, or confidence to make decisions, take action, and be responsible for the outcomes.

Expert Systems

Artificial intelligence programs that use expert-level knowledge to solve problems in a specific domain, mimicking the decision-making ability of a human expert.

Automated Sensors

Devices that operate autonomously to collect data or detect specific conditions, often used in industrial and home applications.

Simulation

The attempt to duplicate the features, appearance, and characteristics of a real system, usually via a computerized model.