Greenwich Plc Is Considering Adding Two New Products at a Subsidiary

question 14

Multiple Choice

Greenwich plc is considering adding two new products at a subsidiary to improve its overall competitiveness. The new products are enthusiastically supported by the managers responsible and an immediate decision is required. It is normal for the managers to calculate the net present value (NPV) for the projects before it is accepted or rejected.
Details of the proposals

-Calculate the Net Present Value of the cash flows for Project A

• A)£24,050.
• B)£24,000.
• C)£25,000.
• D)£31,000

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Definitions:

Real Request

A genuine or sincere appeal or demand made by one party to another.

Social Commitment

A pledge or obligation to follow through with certain social behaviors or attitudes, often for the benefit of a group or community.

Self-Perception Theory

The theory that people sometimes infer their attitudes and attributes by observing their behavior and the situation in which it occurs.

Appearance Of Scarcity

The perception that a resource is scarce, which can increase its demand and perceived value.