Using the Net Present Value Method, the Total Present Value

question 211

Multiple Choice

Using the net present value method, the total present value of cash inflows for Project A is $30,000 and the total present value of cash inflows of Project B is $36,000. If Project A and Project B both require an initial investment of $30,000 and have the same economic life, the project that should be accepted is

• A) Project A.
• B) Project B.
• C) neither; they are both the same.
• D) not capable of being calculated.

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Definitions:

Work Plan

A detailed outline of tasks, timelines, and resources required to complete a project or goal.

Detailed Elements

Specific, in-depth components or aspects of a subject, plan, or design.

Obturator Internus

A muscle within the pelvis that acts to rotate and stabilize the hip.

Gluteus Medius

A muscle located on the outer aspect of the hip, crucial for stabilizing the pelvis and enabling hip abduction.