A Security Firm Is Offered $80,000 in One Year for Providing

question 66

Multiple Choice

A security firm is offered $80,000 in one year for providing CCTV coverage of a property.The cost of providing this coverage to the security firm is $74,000,payable now,and the interest rate is 8.5%.Should the firm take the contract?

• A)Yes,since net present value (NPV)is positive.
• B)It does not matter whether the contract is taken or not,since NPV = 0.
• C)Yes,since net present value (NPV)is negative.
• D)No,since net present value (NPV)is negative.
• E)No,since net present value (NPV)is positive.

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Definitions:

Beliefs

Convictions or acceptances that something exists or is true, especially without proof.

Hereditary Influences

The biological passing of traits from parents to their offspring through genes.

Environmental Influences

External factors or conditions in one's surrounding environment that affect behaviors, decisions, and development.

Internal And External Influences

Internal and external influences refer to the various factors within an individual or in their external environment that affect their thoughts, behaviors, decisions, and overall psychological well-being.