The Formula for Net Present Value Per $1 of Investment

question 60

Multiple Choice

The formula for net present value per $1 of investment is:

• A) Net Present Value/Investment.
• B) Net cash flows/ Investment.
• C) Present value of inflows/initial investment.
• D) Present values of inflows/present value of outflows.

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Definitions:

Corporate Bond

A type of debt security issued by corporations to finance their operations, projects, or expansion plans.

Treasury Bills

Short-term government securities issued at a discount from the face value and maturing at par, used to finance government spending.

Treasury Securities

Government-issued debt instruments that are used to finance the national debt, offering a secure investment with fixed interest payments.

Closing Stock Quote

The final price at which a stock is traded during a particular trading day or session on a securities exchange.