Manhattan,Inc

question 14

Multiple Choice

Manhattan,Inc.is considering an eight-year project that has an initial after-tax outlay or after-tax cost of $180,000.The future after-tax cash inflows from its project for years 1 through 8 are the same at $38,000.Manhattan uses the net present value method and has a discount rate of 11.50%.Will Manhattan accept the project?

• A)Manhattan accepts the project because the NPV is about $12,114.
• B)Manhattan accepts the project because the NPV is about $11,114.
• C)Manhattan rejects the project because the NPV is about -$11,114.
• D)Manhattan rejects the project because the NPV is less than -$12,000.

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Definitions:

Inflammation

A bodily response to injury or infection, characterized by redness, swelling, heat, and pain.

Osmotic Balance

The equilibrium achieved when the concentration of solutes and the movement of water are equal across a semipermeable membrane, essential for cell survival.

Migration

The movement of organisms from one place to another, often seasonally or following a lifecycle pattern.

Edema

A medical condition characterized by the accumulation of fluid in the body's tissues, leading to swelling.