If a Project Has a Net Present Value Equal to Zero,then

question 59

Multiple Choice

If a project has a net present value equal to zero,then:

• A)the initial cost of the project exceeds the present value of the project's subsequent cash flows.
• B)the internal rate of return exceeds the discount rate.
• C)the project produces cash inflows that exceed the minimum required inflows.
• D)any delay in receiving the projected cash inflows will cause the project's NPV to be negative.
• E)the discount rate exceeds the internal rate of return.

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Definitions:

Extension

The movement that increases the angle between two body parts, such as straightening a flexed knee.

Plantar Flexion

The movement of the foot that increases the angle between the foot and the shin, as in standing on tiptoe.

Dorsiflexion

The movement that brings the top of the foot toward the shin, as seen when walking on the heels.

Eversion

The movement of the sole of the foot away from the median plane, or turning the foot outward.