Net Present Value

question 14

Multiple Choice

Net present value:

• A)cannot be used when deciding between two mutually exclusive projects.
• B)is more useful to decision makers than the internal rate of return when comparing different
• Sized projects.
• C)is easy to explain to non-financial managers and thus is the primary method of analysis
• Used by the management.
• D)is not an as widely used tool as payback and discounted payback
• E)is very similar in its methodology to the average accounting return.

---

Definitions:

Potassium Chloride

A chemical compound used in medicine as a supplement and in food processing as a salt substitute.

Nasogastric (NG) Tube

A flexible tube that is passed through the nose into the stomach for feeding or medication administration.

Morphine Sulfate

A powerful opioid analgesic medication used to relieve severe pain by acting directly on the central nervous system.

End-Stage Cancer

A term used to describe cancer that is advanced and no longer responsive to curative treatments, focusing instead on palliative care.