The Net Present Value Criterion (NPV)specifies That a Manager Should

question 93

Multiple Choice

The net present value criterion (NPV) specifies that a manager should choose a project if ________.

• A)the annuity factor for five periods is positive
• B)the sum of its discounted cash flow is negative
• C)the costs are in line with expectations
• D)the sum of its discounted cash flow is positive
• E)the rate of return equals or exceeds the sum of its discounted cash flow

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Definitions:

Voluntary Movement

Movement that is consciously controlled by the brain, involving coordination and intention.

Corpus Callosum

The bundle of nerve fibers connecting the two cerebral hemispheres.

Cerebrum

The largest part of the brain, responsible for higher brain functions such as thought and action.

Fibers

Threadlike structures forming animal or vegetable tissue; in technology, often refers to materials used in making textiles or composites.