Findell Corporation Is Considering Two Projects,A and B,and It Has

question 146

Multiple Choice

Findell Corporation is considering two projects,A and B,and it has gathered the following estimates for the projects: $$\begin{array} { l c c } & \text { Project A } & \text { Project B } \\\text { Useful life } & 5 \text { years } & 5 \text { years } \\\text { Present value of cash inflows } & \$ 84,360 & \$ 55,100 \\\text { Present value of cash outflows } & \$ 77,000 & \$ 49,000\end{array}$$ What is the net present value of cash flows for project B?

• A) $7,360
• B) $6,100
• C) $1,260
• D) None of these answers are correct.

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Definitions:

Confirmation Bias

The tendency to search for, interpret, favor, and recall information in a way that confirms one’s preexisting beliefs or hypotheses.

Defence Attorneys

Lawyers who represent individuals accused of crimes, ensuring their legal rights are protected and presenting their defense in court.

Prosecution

The legal process of holding a trial against someone accused of a crime, with the aim of proving the accusation through evidence and legal argument.

Confirmation Bias

A cognitive bias that involves favoring information that confirms previously existing beliefs or biases.