What Is the Net Present Value for a $33,000 Investment

question 7

Multiple Choice

What is the net present value for a $33,000 investment (−33,000 at year zero) and cash inflows of $10,000 per year for years 1 through 4, using a 4% discount rate?

• A) $3,172.07
• B) −$3,172.07
• C) $1,312.66
• D) −$1,411.54

Explore the impact of technological improvements on comparative advantage and production possibilities.

Understand the concept of human capital and its importance to the economy.

Grasp the principles of comparative advantage and international trade.

Interpret production possibilities and circular-flow diagrams to analyze economic adjustments.

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Definitions:

Impact

The effect or influence of one thing on another; the outcome or result of a particular action or event.

System

A collection of interrelated parts working together for a purpose.

Unfreezing Stage

The initial phase in the change process where existing behaviors, norms, attitudes, or practices are challenged to prepare for change.

Employee Turnover

The speed at which workers depart an organization and new workers take their place.