What Dollar Amount of Savings Would a Project Show If

question 106

Multiple Choice

What dollar amount of savings would a project show if it reduced your outstanding Accounts Receivable by $1.4 million dollars to $5.3 million total and your organization's marginal cost of capital was 6.2%?

• A) $43,400
• B) $86,800
• C) $117,500
• D) $328,600

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Definitions:

Transient Exuberance

The rapid and temporary increase in the number of neural connections in the brain, which occurs in early childhood.

Pruning

The process by which the brain reduces the number of synaptic connections, typically occurring during puberty to increase the efficiency of neuronal transmissions.

Smell Recognition

The ability to identify and distinguish between different odors, an important aspect of sensory perception in humans and many animals.

Nuzzled

A gentle or affectionate rubbing or pushing of one's nose or face against someone or something.