What Is the NPV of the Following Set of Cash

question 58

Multiple Choice

What is the NPV of the following set of cash flows at a discount rate of zero percent? What if the discount rate is 15 percent? $$\begin{array} { | c | r | } \hline \text { Year } & \text { Cash Flow } \\\hline 0 & - \$ 21,400 \\\hline 1 & 11,600 \\\hline 2 & 13,500 \\\hline 3 & 12,200 \\\hline\end{array}$$

• A)$0; -$665.07
• B)$0; $6,916.59
• C)$0; $7,208.19
• D)$15,900; $7,208.19
• E)$15,900; $6,916.59

---

Definitions:

RLC Series Circuit

An electric circuit consisting of a resistor (R), inductor (L), and capacitor (C) connected in series, creating a circuit with resonant properties.

Circuit Power Factor

A measure of the efficiency of power usage in an electrical circuit, defined as the ratio of real power flowing to the load to the apparent power in the circuit.

Applied Voltage

The electrical potential difference deliberately applied across a component or circuit to drive current through it.

RLC Series Circuit

An electrical circuit consisting of a resistor (R), inductor (L), and capacitor (C) connected in series, displaying complex impedance characteristics.