(Net Present Value Table Required)Simon Manufacturing Is Conducting Preliminary Research

question 83

Multiple Choice

(Net present value table required) Simon Manufacturing is conducting preliminary research into installing a geothermal heat pump to heat and cool its factories and offices.The initial cost of installing the new system is $245,000;however,Simon will save $35,000 annually on its heating and cooling costs.The system has an expected life of 15 years.
What is the net present value (NPV) of the project,assuming a discount rate of 8%?

• A)$54,565
• B)$(233,975)
• C)$299,565
• D)$11,025

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Definitions:

Aversive Stimulus

A stimulus that is unpleasant or painful, leading to avoidance behavior.

Delay

The period between the onset of the conditioned stimulus and the onset of the unconditioned stimulus in the conditioning process.

Aversive Stimulus

A stimulus that is unpleasant or painful, often used to modify behavior through avoidance learning or negative reinforcement.

Negative Reinforcement

The process of strengthening a behavior by removing or avoiding a negative outcome or unpleasant stimulus as a result of the behavior.