What Effect Will an Increase in the Discount Rate Have

question 57

Multiple Choice

What effect will an increase in the discount rate have on the present value of a project that has an initial cash outflow followed by five years of cash inflows?

• A)There will be no effect on the PV.
• B)The PV will change but the direction of the change is unknown.
• C)The PV will remain the same as the timing of the cash flows must change also.
• D)The PV will increase.
• E)The PV will decrease.

Identify the key principles of the Consumer Bill of Rights and its impact on consumer protection.

Understand the ethical considerations in information exchange including privacy policies and economic espionage.

Discuss how business cultures affect ethical behavior in exchanges between sellers and buyers and in competition.

Explain how culture serves as a socializing force influencing moral and ethical behaviors.

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