You Are Considering the Following Two Mutually Exclusive Projects Based Upon the Payback Period and the Information Provided in Projects

question 56

Multiple Choice

You are considering the following two mutually exclusive projects. Both projects will be depreciated using straight-line depreciation to a zero book value over the life of the project. Neither project has any salvage value.
$\begin{array}{l}\begin{array} { | l | c | c | } \hline \text { Year } & \text { Project A } & \text { Project B } \\\hline 0 & £ 75,000 & £ 70,000 \\\hline 1 & £ 19,000 & £ 10,000 \\\hline 2 & £ 48,000 & £ 16,000 \\\hline 3 & £ 12,000 & £ 72,000 \\\hline\end{array}\\\begin{array} { | l | l | l | } \hline & \text { Project A } & \text { Project B } \\\hline \text { Required rate of return } & 10 \% & 13 \% \\\hline \text { Required payback period } & 2.0 \text { years } & 2.0 \text { years } \\\hline \text { Required accounting return } & 8 \% & 11 \% \\\hline\end{array}\end{array}$
Based upon the payback period and the information provided in the problem, you should:

• A)accept both project A and project B.
• B)reject both project A and project B.
• C)accept project A and reject project B.
• D)accept project B and reject project A.
• E)require that management extend the payback period for project A since it has a higher
• Initial cost.

Explain the concept of short-sighted evolution in the context of cancer.

Understand the evolutionary and geographical factors influencing the prevalence of genetic diseases.

Understand the nature and adaptive significance of fear in humans.

Comprehend the evolutionary relationships among apes, hominins, and monkeys.

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Definitions:

Natural Selection

The process by which genetic variations that enhance survival and reproduction become more common in successive generations of a population.

Alfred Russel Wallace

A British naturalist, explorer, geographer, and biologist, best known for independently conceiving the theory of evolution through natural selection.

Charles Darwin

A 19th-century naturalist and geologist known for developing the theory of natural selection, significantly contributing to the understanding of evolution.

William Smith

Often referred to as the "Father of English Geology," he created the first nationwide geological map and contributed significantly to the science of stratigraphy.