Which One of the Following Increases the Net Present Value

question 3

Multiple Choice

Which one of the following increases the net present value of a project?

• A)an increase in the required rate of return
• B)an increase in the initial capital requirement
• C)a deferment of some cash inflows until a later year
• D)an increase in the aftertax salvage value of the fixed assets
• E)a reduction in the final cash inflow

---

Definitions:

Ducts

Tubes or passages in the body or in a machine through which liquids or gases move.

Central Nervous System

The complex network of nerve tissues that controls the activities of the body and mind, consisting of the brain and spinal cord.

Peripheral Nervous System

A part of the nervous system that consists of the nerves and ganglia outside of the brain and spinal cord.

Behavioral Geneticist

A scientist who studies the role of genetics in shaping behaviors, personality traits, and mental health disorders, often through twin and adoption studies.