What Is the Net Present Value of a Project That

question 94

Multiple Choice

What is the net present value of a project that has an initial cash outflow of $12,670 and the following cash inflows? The required return is 12.5%.

• A)$-218.68
• B)$-124.46
• C)$-76.10
• D)$549.65
• E)$671.02

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Definitions:

Secondary Reinforcer

A stimulus that gains its reinforcing power through its association with a primary reinforcer; also known as conditioned reinforcer.

Primary Reinforcer

A naturally reinforcing stimulus meeting a basic biological need, such as hunger or thirst.

Aversive Stimuli

Unpleasant or noxious stimuli which an organism seeks to avoid or escape.

Partial Reinforcement

A conditioning strategy wherein a reward is not administered every time the desired behavior is performed, making a behavior more resistant to extinction.