A Project Has the Following Cash Flows: C₀ = -100,000;

question 70

Multiple Choice

A project has the following cash flows: C₀ = -100,000; C₁ = 50,000; C₂ = 150,000; C₃ = 100,000.If the discount rate changes from 12 percent to 15 percent, what is the change in the NPV of the project (approximately) ?

• A)12,750 increase
• B)12,750 decrease
• C)14,240 increase
• D)14,240 decrease

---

Definitions:

Typography

The art and technique of arranging type, including the choice of font, size, length, and spacing, to make written language readable and appealing.

Readability

The ease with which a reader can understand or interpret a written text.

Design Feature

Specific elements or attributes incorporated into a product's design to improve its functionality or aesthetic appeal.

Androcentrism

A perspective or practice that places male human beings or masculinity at the center of one's worldview, implicitly regarding them as the norm.