The statement " A net present value of zero ($0) signifies that the project's cash inflows will (1) be sufficient to recover the project's costs and (2) earn a return equal to the project's opportunity cost of capital " is TRUE
Explanation:
The net present value (NPV) measures the difference between the actual cash flow value and the current cash outflow value over time.
NPV is used for the study of the feasibility of a project or operation in capital budgeting and financial planning.
The discrepancy between the current value of cash flows and the existing price of cash outflows is measured over a cycle. As the name suggests, the net present value simply discounts the balances at a fixed rate, regardless of the current currency inflows and outflows.
Answer:
D) all other factors being constant, it is likely the CPI would rise during the year in question.
Explanation:
The CPI measures the price of a basket of goods and that basket includes both housing expenses and gasoline, but housing expenses are "heavier" than gasoline (their relative weight on the CPI is much higher) because they represent a much larger portion of a household's income. It is common for a family to pay $1,000 (or much more) per month on rent or a mortgage, while how many people actually spend over $1,000 per month on gas?
Answer:
Retail communication
Explanation:
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