Suppose a Project Requires an Initial Investment of $10,000 and It

question 136

Multiple Choice

Suppose a project requires an initial investment of $10,000 and it will yield $10,500 one year later.The NPV of the project is:

• A)equal to $500.
• B)negative if the discount rate is less than 5.0%.
• C)zero if the discount rate is equal to 5.0%..
• D)positive if the discount rate is greater than 5.0%..

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Definitions:

Infants

Very young children, typically under one year of age, who are at the earliest stage of human life.

Repeat An Action

The process of performing the same action or task again, often to practice or reinforce a skill or behavior.

Sensorimotor

Pertaining to the developmental stage in infants involving the coordination of senses and motor activities to explore and understand the environment.

Piaget's Cognitive Theory

A theory that describes how children's intelligence changes as they grow, emphasizing stages of cognitive development.