A Project with an Initial Investment of $70,000 and a Profitability

question 134

Multiple Choice

A project with an initial investment of $70,000 and a profitability index of 1.239 also has an internal rate of return of 12%. The present value of net cash flows is

• A) $78,400.
• B) $86,730.
• C) $56,497.
• D) $70,000.

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Definitions:

Initiative Versus Guilt

A stage in Erickson's psychosocial development theory where children learn to exercise independence and initiative, but may feel guilt when unsuccessful.

Psychosocial Stages

Erikson's theory that proposes eight stages of human development, each characterized by a different conflict that must be resolved for healthy psychological development.

Preschool Years

The period in a child's life prior to attending kindergarten, typically from ages 3 to 5, marked by rapid growth and development in various areas.

Human Development

A multidisciplinary field studying changes in human beings over the course of their life, including physical, cognitive, and social growth.