A Project Has an Initial Cash Outflow of $22,400 and Cash

question 43

Multiple Choice

A project has an initial cash outflow of $22,400 and cash inflows of $13,400 a year for Years 1 and 2 and a final cash inflow in Year 6 of $7,500.The required return is 15.5 percent.What is the net present value?

• A)$2,405.66
• B)$1,608.14
• C)$1,919.08
• D)$2,134.85
• E)$2,671.02

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Definitions:

Political System

The system of government by which a country or community is governed.

Checks And Balances

A system in which the different parts of an organization or government have powers that affect and control the other parts so that no part can become too powerful.

Thomas-Kilman Conflict Model

A model that outlines five conflict-handling modes to assess how individuals deal with conflicts: avoiding, accommodating, competing, compromising, and collaborating.

Competitor

An individual or organization that is a rival against others in the same industry or field, striving for the same goals such as market share.