A Project Has an Initial Cost of $26,000,a Discount Rate

question 49

Multiple Choice

A project has an initial cost of $26,000,a discount rate of 11.7 percent,a life of 5 years,and an NPV of $11,216.Given this,you know that the project is expected to earn a return:

• A)equal to 11.7 percent of $26,000 plus an additional $11,216.
• B)of $11,216 in total.
• C)equal to 11.7 percent of $37,216 (= $26,000 + 11,216).
• D)of 11.7 percent of $11,216.
• E)of $26,000 minus $11,216.

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Definitions:

Customers Reached

The total number of potential or actual customers who come into contact with a particular marketing message or campaign.

Brand Strategy

A long-term plan to develop a successful brand; it involves how you plan to communicate your brand messages to your target customers.

Target Audience

The specific group of consumers identified as the intended recipients of a product, service, or marketing campaign.

7 Ps

A marketing theory that extends the original 4 P’s (Product, Price, Place, Promotion) to include People, Processes, and Physical evidence.