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

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Definitions:

IV

An abbreviation for intravenous, a method of administering fluids, medications, or nutrients directly into a vein.

IR

Insulin Resistance, a condition in which cells fail to respond normally to insulin, often leading to type 2 diabetes.

Csikszentmihalyi's Model

A psychological concept, proposed by Mihaly Csikszentmihalyi, that describes a state of deep engagement and fulfillment.

Skill Ability

The capability to perform tasks and solve problems effectively due to one's knowledge and practice.