What Is the Change in the NPV of a One-Year

question 41

Multiple Choice

What is the change in the NPV of a one-year project if fixed costs are increased from $400 to $600, the firm is profitable, has a 35% tax rate, and employs a 12% cost of capital?

• A) -$200.00
• B) -$178.57
• C) -$130.00
• D)-$116.07

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Definitions:

Erythrocytes

Red blood cells that carry oxygen from the lungs to the body tissues and carbon dioxide back to the lungs.

Anemic Cells

Anemic cells refer to blood cells, typically red blood cells, that are deficient in hemoglobin, leading to reduced oxygen transport and symptoms of anemia.

Antibodies

Proteins produced by the immune system in response to foreign substances, which they neutralize or mark for destruction.

Fibrinogen

A soluble plasma glycoprotein that is converted by thrombin into fibrin during blood clot formation.