Results from the Net Present Value (NPV) Method and the Internal

question 105

Multiple Choice

Results from the net present value (NPV) method and the internal rate of return (IRR) method may differ between projects if the projects differ in all the following except:

• A) Required initial investment.
• B) Cash-flow pattern.
• C) Cost of capital (i.e., discount rate).
• D) Length of useful life of the two projects.
• E) Book (accounting) rate of return on the two projects.

Determine qualifying expenses for education credits and how they are calculated.

Understand the criteria for qualifying individuals for the child and dependent care expenses credit.

Recognize the impact of AGI on the availability and amount of various tax credits including the retirement savings contributions credit.

Determine the qualifying expenses and limits for the child and dependent care credit.

---

Definitions:

Project

A planned set of interrelated tasks to be executed over a fixed period and within certain cost and other limitations.

Arbitration Clause

A provision in a contract that requires disputes to be settled by arbitration rather than in court.

Employment Agreement

A legally binding contract outlining the terms and conditions of employment between an employer and employee.

Non-Discrimination Clause

is a provision in a contract or legislation requiring parties to treat all persons equally and to not discriminate on various grounds, including race, gender, religion, or nationality.