Theresa Is Analyzing a Project That Currently Has a Projected

question 29

Multiple Choice

Theresa is analyzing a project that currently has a projected NPV of zero.Which of the following changes that she is considering will help that project produce a positive NPV instead? Consider each change independently.
I.increase the quantity sold
II.decrease the fixed leasing cost for equipment
III.decrease the labor hours needed to produce one unit
IV.increase the sales price

• A)I and II only
• B)I and IV only
• C)II, III, and IV only
• D)I, II, and IV only
• E)I, II, III, and IV

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Definitions:

Conscious Determinants

Factors that are consciously recognized and understood to influence an individual's thoughts, feelings, and behaviors.

Cognitive

Relating to mental activities such as thinking, understanding, learning, and remembering.

Psychoanalytic

Pertaining to a theory of psychology and method of psychotherapy that aims to treat mental disorders by investigating the interaction of conscious and unconscious elements in the mind.

Personality

The characteristic set of behaviors, cognitions, and emotional patterns that evolve from biological and environmental factors.