As Long as the NPV of a Project Declines Smoothly

question 70

Multiple Choice

As long as the NPV of a project declines smoothly with increases in the discount rate, the project is acceptable if its:

• A)Internal rate of return is positive
• B)Net present value does not equal zero
• C)Rate of return exceeds the cost of capital
• D)Cash inflows exceed the initial cost

---

Definitions:

Nonunion

Refers to workplaces or employees not affiliated with a labor union, often implying a lack of collective bargaining for rights and wages.

Intimidate Workers

The act of frightening or overawing employees, potentially to discourage them from taking certain actions or asserting their rights.

Personally Satisfying Jobs

Positions that provide individuals with fulfillment and happiness beyond financial compensation.

Fair Objective Standards

Criteria or benchmarks that are impartial and clearly defined, used to measure or evaluate performance, behavior, or outcomes.