Which of the Following Statements Is Correct

question 169

Multiple Choice

Which of the following statements is correct?

• A) Because discounted payback takes account of the required rate of return,a project's discounted payback is normally shorter than its regular payback.
• B) The NPV and IRR methods use the same basic equation,but in the NPV method the discount rate is specified and the equation is solved for NPV,while in the IRR method the NPV is set equal to zero and the discount rate is found.
• C) If the required rate of return is less than the crossover rate for two mutually exclusive projects' NPV profiles,a NPV/IRR conflict will not occur.
• D) If you are choosing between two projects which have the same life,and if their NPV profiles cross,then the smaller project will probably be the one with the steeper NPV profile.
• E) If the required rate of return is relatively high,this will favor larger,longer-term projects over smaller,shorter-term alternatives because it is good to earn high rates on larger amounts over longer periods.

Recognize the importance of environmental factors and community infrastructure in disease prevention.

Understand the historical development of public health initiatives and their impact on community health.

Analyze the role of government and non-governmental organizations in the advancement of public health.

Identify key figures and their contributions to public health and nursing.

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Definitions:

Aggregate Income

The total income earned by individuals and businesses in an economy over a specific period, before taxes.

Aggregate Income

The total amount of income earned by individuals and businesses within an economy.

Consumption Function

An economic equation that illustrates the connection between gross national income and total consumption levels.

Consumption Function

An economic formula representing the relationship between total consumption and gross national income, indicating how much households intend to consume at various income levels.