Sloan IncRecently Invested in a Project with a 3-Year Life Span

question 25

Multiple Choice

Sloan Inc.recently invested in a project with a 3-year life span.The net present value was $9000 and annual cash inflows were $21000 for year 1; $24000 for year 2; and $27000 for year 3.The initial investment for the project assuming a 15% required rate of return was $\begin{array} { c c c } \underline{\text { Year } }& \begin{array} { c } \text { Present Value } \\\underline{\text { of } 1 \text { at } 15 \%}\end{array} & \begin{array} { c } \text { PV of an Annuity } \\\underline{\text { of } 1 \text { at } 15 \%}\end{array} \\ 1 & .870 & .870 \\3 & .756 & 1.626 \\3 & .658 & 2.283\end{array}$

• A)$45792.
• B)$45180.
• C)$29232.
• D)$38376.

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Definitions:

Psychoanalytic Approach

A theory of psychology that emphasizes the unconscious processes and childhood experiences as determinants of an individual's mental and emotional state.

Humanistic Approach

A psychological perspective that emphasizes the study of the whole person and the uniqueness of each individual, often focusing on self-actualization and personal growth.

Personality

The fusion of qualities and characteristics that establish an individual's singular nature.

Maslow's Hierarchy

A theory of psychological health predicated on fulfilling innate human needs in priority, culminating in self-actualization.