Assume General Motors Has a Weighted Average Cost of Capital

question 37

Multiple Choice

Assume General Motors has a weighted average cost of capital of 10%. GM is considering investing in a new plant that will save the company $30 million over each of the first two years, and then $15 million each year thereafter. If the investment is $150 million, what is the net present value (NPV) of the project?

• A) $18.2 million
• B) $20.8 million
• C) $23.4 million
• D) $26.0 million

Knowledge of strategies for overcoming challenges in message delivery due to SNS algorithms.

Understand the various types of content in social media marketing.

Recognize strategic marketing approaches including content marketing.

Identify the characteristics of sponsored, incentivized, and organic content.

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Definitions:

Proliferation Phase

The second phase of wound healing, in which new tissue forms, closing off the wound.

Scar Tissue

Fibrous tissue that replaces normal skin or tissues after an injury or surgery, often leading to reduced functionality and flexibility.

Approximated

Brought closer together or made to correspond or resemble more closely, often used in reference to making estimates or calculations that are close to the actual values.