JJ's Is Reviewing a Project with a Required Discount Rate

question 13

Multiple Choice

JJ's is reviewing a project with a required discount rate of 15.2 percent and an initial cost of $309,000. The cash inflows are $47,000, $198,000, and $226,000 for Years 2 to 4, respectively. Should the project be accepted based on discounted payback if the required payback period is 2.5 years?

• A) Accept; The discounted payback period is 2.18 years.
• B) Accept; The discounted payback period is 2.32 years.
• C) Accept; The discounted payback period is 2.98 years.
• D) Reject; The discounted payback period is 3.87 years.
• E) Reject; The project never pays back on a discounted basis.

Recognize the importance of environmental factors and community infrastructure in disease prevention.

Understand the historical development of public health initiatives and their impact on community health.

Analyze the role of government and non-governmental organizations in the advancement of public health.

Identify key figures and their contributions to public health and nursing.

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Definitions:

Diluent

A substance used to dilute another substance, reducing its concentration without altering its chemical structure.

Antibiotic

A type of medication used to prevent and treat bacterial infections by killing or inhibiting the growth of bacteria.

Medicine Cup

A small cup, often with marked measurements, used for accurately measuring and administering liquid medication doses.

Oral Medication

A form of medicine taken by mouth to be swallowed or absorbed in the gastrointestinal tract.