A Firm Is Evaluating a Project That Has a Net

question 59

Multiple Choice

A firm is evaluating a project that has a net present value of $0 when a discount rate of 8 percent is used. A discount rate of 6 percent will result in a

• A)negative net present value.
• B)positive net present value.
• C)net present value of $0.
• D)the question cannot be answered based upon the information provided.

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