Answer:
A. Market, or beta, risk
Explanation:
i.e when the CFO adjusts the cost per ton of processing the cardboard, the project’s NPV will decrease.
Solution 2 :- The correct answer is (B) I.e Corporate or with in firm risk
a project's risk to the corporation as opposed to its investors
Solution 3 :- Stand alone risk
Stand alone risk is measured by the variability of the project's expected returns - diversification is totally ignored
Answer:
no fiduciary relationship has been established
Explanation:
Based on the information provided within the question it can be said that in this scenario no fiduciary relationship has been established. A fiduciary is a person who holds a legal or ethical relationship that revolves around trust with another person or group. This type of person usually handles money for other people. In this scenario though, since the individual is just taking over temporarily for the couple and is not handling the couples house purchase, then no relationship has been established.
Answer:
b. Alternative cost.
Explanation:
Sunk cost is cost that has been incurred and cannot be recovered.
Out of pocket cost is a cost incurred out of an employees personal cash reserves for which he may be reimbursed for by his employers.
Differential cost is the cost of two different options.
Opportunity cost is the benefit lost when one alternative is chosen over other alternatives.
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