Which of the Following Would Decrease the Net Present Value

question 25

Multiple Choice

Which of the following would decrease the net present value of a project?

• A) A decrease in the income tax rate.
• B) A decrease in the initial investment.
• C) An increase in the useful life of the project.
• D) An increase in the discount rate.

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Definitions:

Self-employed

The status of working for oneself as a freelancer or owner of a business rather than being employed by someone else.

Well-educated

Possessing a high level of education and knowledge, typically achieved through formal schooling and continuous learning.

Relatively Old

A term referring to an object, person, or concept that is considerably aged compared to others in its category.

Millionaire Status

The state of having net assets or a net worth equal to or greater than one million units of a currency.