Which of the Following Is Always True Regarding the NPV

question 124

Multiple Choice

Which of the following is always true regarding the NPV decision model?

• A) If a project is found to be acceptable under the NPV approach, it would also be acceptable under the internal rate of return (IRR) approach.
• B) The NPV and the IRR approaches will always rank two projects in the same order of preference.
• C) If a project is found to be acceptable under the NPV approach, it would also be acceptable under the payback approach.
• D) If a project is found to be acceptable under the NPV approach, it would also be acceptable under the book (accounting) rate of return approach.
• E) If a project is rejected under the NPV approach, it would also be rejected under the payback approach.

Explain the repercussions of failing to adequately supervise corporate management and employees.

Understand the legal framework surrounding shareholder rights, including voting and litigation on behalf of the corporation.

Recognize the ethical considerations and fiduciary duties involved when shareholders control or transfer shares.

Understand the legal aspects of corporate accountability and liability, including for wrongful acts and financial mismanagement.

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Definitions:

Premium

An amount paid in addition to a standard rate, often for higher quality or enhanced access to goods and services.

Consumer-Generated Content

Content created and shared by consumers about a product or service, often through social media or reviews, which can influence other consumers' perceptions.

Contests

Competitive events or challenges organized to engage an audience and promote a brand or product, often with prizes for the winners.

Sweepstakes

A type of contest where winners are selected at random from a pool of entries.