Net Present Value Will Be Greater

question 62

Multiple Choice

Net present value will be greater

• A) as a fixed set of cash receipts occurs later rather than earlier
• B) as the total of the cash receipts, made in same time periods, is smaller
• C) for one end-of-year receipt of $1200 than for twelve monthly receipts of $100 each
• D) for a 4% discount rate than for a 6% discount rate
• E) All of the above are true.

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Definitions:

Younger Audiences

Target demographic groups composed of younger individuals, typically children and teenagers, with specific consumer habits and preferences.

Recall, Recognition

The ability to remember (recall) information or to identify (recognition) previously encountered information or experiences.

Alienates

To make someone feel isolated or estranged, often resulting from actions or decisions that push others away.

Advertising Objectives

The goals a company aims to achieve through its advertising campaigns, such as increasing brand awareness or boosting sales.