A Company Needs to Spend $15 000 for Each of the Next

question 47

Multiple Choice

A company needs to spend $15 000 for each of the next three years. Net returns beginning in Year 4 are estimated at $2500 per year for ten years. The required rate of return is 9.75% compounded annually. The NPV is?

• A) -$27 521.41
• B) -$27 721.41
• C) -$25 721.41
• D) $25 217.41
• E) $27 521.41

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Definitions:

Allopatric Speciation

A form of speciation happening when groups within the same species are separated in such a way that it hampers or stops them from exchanging genetic material.

Isthmus Of Panama

A narrow strip of land connecting North and South America, with the Caribbean Sea to the east and the Pacific Ocean to the west.

Sympatric Speciation

The process by which new species evolve from a single ancestral species while inhabiting the same geographic region.

Sister Groups

The two lineages that emerge from a node on a cladogram.