Which of the Following Investments Has the Highest Net Present

question 75

Multiple Choice

Which of the following investments has the highest net present value (NPV) ,given that the interest rate is 5.5%?

• A)one that pays $250 at the end of each of the next four years
• B)one that pays $500 at the end of next year and $500 in four years' time
• C)one that pays $250 at the end of next year and $750 in four years' time
• D)one that pays $200 at the end of next year,$200 at the end of the second year,and $300 at the end of the third and fourth years
• E)one that pays $250 at the beginning of each year for the next four years.

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Applied Research

Research aimed at solving practical problems or answering specific questions rather than gaining theoretical knowledge; it has direct, immediate application.

Theoretical Research

Research based on theoretical concepts and frameworks, often without immediate practical application.

Evolutionary-response Research

A field of study examining how organisms adapt to environmental changes over generations through genetic variations and behaviors.