The Money Needed to Get a Project Started Is Generally

question 158

Multiple Choice

The money needed to get a project started is generally referred to as the initial outlay. It includes all cash outflows:

• A)before the start of the project and in its first year.
• B)throughout the life of the project.
• C)before or at the start of the project, generally referred to as at time zero.
• D)already spent.

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Definitions:

Social Discount Rate

The rate used to convert future costs and benefits to their present value in order to make decisions regarding public projects.

NPV Calculations

The process of determining the net present value of cash flows by discounting them to the present value using a specific rate.

Carbon Tax

A tax imposed on carbon dioxide emissions, designed to reduce the use of fossil fuels and lower greenhouse gas emissions.

Stock Dissipation Rate

The rate at which a stock or resource diminishes due to use or other factors.