A Company Used the Net-Present-Value Method to Analyze an Investment

question 114

Multiple Choice

A company used the net-present-value method to analyze an investment and found the investment to be very attractive.If the firm used straight-line depreciation and changes to the Modified Accelerated Cost Recovery System (MACRS) ,the investment's net present value will:

• A)increase.
• B)remain the same.
• C)decrease.
• D)change,but the direction cannot be determined based on the data presenteD.
• E)fluctuate in an erratic manner.

Distinguish between laws and ethical standards, and the implications of violations.

Appreciate the influence of cultural norms on ethical standards and behaviors.

Understand the concept of ethical and moral dilemmas in professional environments.

Recognize the importance of self-esteem in ethical behavior and social responsibility.

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Definitions:

Legal Rights

Legal rights are entitlements governed by specific legal systems that grant individuals the ability to perform certain actions or to be treated in specific ways.

Records

Documented information, in various formats, maintained as evidence of activities, transactions, and decisions.

Abstract Qualities

Traits or characteristics that are not tangible or concrete, often relating to concepts, ideas, or values.

Construct Validity

Consistency between a high score on a test and high level of a construct such as intelligence or leadership ability, as well as between mastery of this construct and successful performance of the job.