When Using the Net Present Value Model,which of the Following

question 98

Multiple Choice

When using the Net Present Value model,which of the following assumptions is/are used?

• A) We assume the predicted cash inflows and outflows are certain to occur at the times specified.
• B) We assume perfect capital markets.
• C) The Net Present Value model meets the cost-benefit criterion.
• D) A and B

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Definitions:

Endoplasmic Reticulum

Double-walled membranous network inside the cytoplasm; rough has ribosomes attached to the surface; smooth does not have ribosomes attached.

Cell Metabolism

The complex set of chemical reactions that occur within a cell to maintain life, involving the breakdown of molecules to generate energy and the synthesis of all compounds necessary for cell structure and function.

Fluid-Mosaic Model

The fluid-mosaic model describes the structure of cell membranes as a mosaic of components, including proteins, lipids, and carbohydrates, that gives the membrane a fluid character.

Phospholipids

A class of lipids forming the major component of cell membranes, consisting of a phosphate group, a glycerol backbone, and two fatty acid tails.