For the Following Amicable Pair, Determine Whether Neither, One, or Both

question 142

Multiple Choice

For the following amicable pair, determine whether neither, one, or both of the members are happy, and whether the pair is a happy amicable pair.
-79,750 and 88,730

• A)both; happy
• B)neither; not happy
• C)one; not happy
• D)one; happy

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Definitions:

Value Foregone

The potential value lost when choosing one investment or action over another, often considered an opportunity cost.

Required Rate of Return

The minimum return an investor expects to achieve on an investment, considering the risk involved.

NPV

Net Present Value (NPV) is a financial metric used to evaluate the profitability of an investment or project, calculated as the difference between the present value of cash inflows and outflows over a period of time.

Cash Flows

The total amount of money being transferred into and out of a business, particularly in terms of income and expenses.