What Will Result from an Increase in the Risk-Adjusted Discount

question 37

Multiple Choice

What will result from an increase in the risk-adjusted discount rate for a risky project?

• A)no change in the NPV
• B)an increase in the IRR
• C)an increase in the NPV
• D)a decrease in the NPV

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Definitions:

Nervous System

The complex network of nerve cells and fibers that transmits nerve impulses between parts of the body.

Membrane

A thin layer of tissue that covers a surface, lines a cavity, or divides a space or organ.

Positively Charged

An electrical condition where an object or particle has more protons than electrons, giving it a net positive electric charge.

Negatively Charged

Having more electrons than protons, resulting in a net negative electrical charge.