​If the Annual Interest Rate Is 0%,the Net Present Value

question 78

Multiple Choice

​If the annual interest rate is 0%,the net present value of receiving $550 in the next year is

• A)​$550
• B)$551
• C)$549
• D)​$500

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Definitions:

Administrative Expense

Administrative expense refers to the costs associated with the general operation of a business, such as salaries of non-production staff, rent, and utilities.

Finished Goods

Completed products that are ready for sale but have not yet been sold to customers.

Inventory

The goods and materials held by a company for the purpose of resale or production.

Sales

The total amount of revenue generated from selling goods or services over a specific period.