Which One of the Following Statements Is Correct

question 190

Multiple Choice

Which one of the following statements is correct?

• A) A negative net present value indicates that a project is acceptable.
• B) A profitability index that is less than 1.0 indicates that a project is acceptable.
• C) A project with a net present value of zero is earning exactly the required rate of return.
• D) When the internal rate of return is less than the required rate, the project should be accepted.
• E) If the accounting rate of return exceeds the required discount rate, the project should be accepted.

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Definitions:

Notify

To inform or alert someone about a piece of information or an event.

Diabetes

A chronic condition characterized by high levels of sugar in the blood due to insulin production or action issues.

Scheduling

The process of organizing, planning, and arranging appointments, tasks, or operations in order to optimize time and resources efficiently.

Extra Consideration

Additional thought, attention, or priority given to a particular matter or individual, often due to special circumstances.