Description : A company is considering investing surplus funds in a project. Calculate the NPV at 10 % discount rate for the following data Project-A Year 0- (100) Year 1-100 Year 2-100 A. 73.5 B. 173.5 C. 273.5 D.100
Last Answer : A. 73.5
Description : A firm is about to undertake a project and has computed the NPV of the project using a variety of discount rates: Discount Rate used NPV 10% 130 15% 50 20% -50 What is the approximate IRR of this project? A 20% B 17.5% C 15% D 22.5%
Last Answer : B 17.5%
Description : A project has a Profitability Index of 1.30. What does it mean? A.The NPV is less than zero B.The payback period is more than one year C.That the project returns Rs 1.30 for every Re 1 invested in the project D.That IRR is 1.30 times that of the Hurdle Rate
Last Answer : C.That the project returns Rs 1.30 for every Re 1 invested in the project
Description : Which of the following is true? A. Discounted cash flow analysis is the least precise of the cash flow techniques, because it does not consider the time value of money. B. NPV is ... least precise of the cash flow analysis techniques, because it assumes reinvestment at the cost of capital.
Last Answer : C. Payback period is the least precise of the cash flow analysis techniques, because it does not consider the time value of money.
Description : Which of the following is true regarding IRR? A. IRR assumes reinvestment at the cost of capital. B. IRR is the discount rate when NPV is greater than zero. C. IRR is a constrained optimization method. D. IRR is the discount rate when NPV is equal to zero.
Last Answer : D. IRR is the discount rate when NPV is equal to zero.
Description : Which of the following is true regarding NPV? A. NPV assumes reinvestment at the cost of capital. B. NPV decisions should be made based on the highest value for all the selections. C. NPV assumes reinvestment at the prevailing rate. D. NPV assumes reinvestment at the NPV rate.
Last Answer : A. NPV assumes reinvestment at the cost of capital.
Description : An investment should be accepted if its Net Present Value (NPV) is (A) 0 (B) 1 (C) positive (D) negative
Last Answer : C) positive
Description : You must decide between two mutually exclusive projects. Project A has cash flows of - Rs.10,000; Rs.5,000; Rs.5,000; and Rs.5,000; for years 0 through 3, respectively. Project B has cash flows of -Rs ... B's NPV > Project A's NPV. D. Neither A nor B; The NPVs of both projects are negative.
Last Answer : C. B; Project B's NPV > Project A's NPV.
Description : Two mutually exclusive projects are being considered. Neither project will be repeated again in the future after their current lives are complete. There exists a potential problem though -- ... NPV technique and simply choose the highest IRR since managers are concerned about maximizing returns.
Last Answer : A. Rely on the NPV method and make your choice as it will tell you which one is best.
Description : When operating under a single-period capital-rationing constraint, you may first want to try selecting projects by descending order of their in order to give yourself the best chance to select the mix of ... net present value (NPV) C. internal rate of return (IRR) D. payback period (PBP)
Last Answer : B. net present value (NPV)
Description : Assume that a firm has accurately calculated the net cash flows relating to two mutua lly exclusive investment proposals. If the net present value of both proposals exceed zero and the firm is ... maximize shareholder wealth and, since the projects are mutually exclusive, we can only take one
Last Answer : D. accept the proposal that has the largest NPV since the goal of the firm is to maximize shareholder wealth and, since the projects are mutually exclusive, we can only take one
Description : Which of the following statements is incorrect regarding a normal project? A. If the NPV of a project is greater than 0, then its PI will exceed 1. B. If the IRR of a project is 8%, its NPV, using ... the IRR of a project is greater than the discount rate, k, then its PI will be greater than 1.
Last Answer : D. If the IRR of a project is greater than the discount rate, k, then its PI will be greater than 1.
Description : A profitability index (PI) of .92 for a project means that . A. The project's costs (cash outlay) are (is) less than the present value of the project's benefits B. The project's NPV is ... is greater than 1 D. The project returns 92 cents in present value for each current rupee invested (cost)
Last Answer : C. The project's NPV is greater than 1
Description : Which of the following is not used as a biopesticide? (a) Trichoderma harzianum (b) Nucleopolyhedrovirus (NPV) (c) Xanthomonas campestris (d) Bacillus thuringiensis
Last Answer : (c) Xanthomonas campestris
Description : The internal rate of return is the discount rate for which the NPV is a) positive b) zero c) negative d) less than 1
Last Answer : b) zero
Description : A natural to manage pest a). Bt b). Devine c). NPV d).All of the above
Last Answer : d).All of the above
Description : A mico-herbicide a). Bt b). Collago c). NPV d). Zygogramma
Last Answer : b). Collago
Description : What is the full form of 'YWCA' ? -How To ?
Last Answer : The full form of 'YWCA' is Young Women's Christian Association
Description : What is the full form of 'yr' ? -How To ?
Last Answer : The full form of 'yr' is Year
Description : What is the full form of 'YMCA' ? -How To ?
Last Answer : The full form of 'YMCA' is Young Men's Christian Association
Description : What is the full form of 'WWW' ? -How To ?
Last Answer : The full form of 'WWW' is World Wide Web
Description : What is the full form of 'WTO' ? -How To ?
Last Answer : The full form of 'WTO' is World Trade Organisation
Description : What is the full form of 'YC' ? -How To ?
Last Answer : The full form of 'YC' is Youth Congress
Description : What is the full form of 'Xmas' ? -How To ?
Last Answer : The full form of 'Xmas' is Christmas
Description : What is the full form of 'WTC' ? -How To ?
Last Answer : The full form of 'WTC' is World Trade Centre
Description : What is the full form of 'WP' ? -How To ?
Last Answer : The full form of 'WP' is Word Processing
Description : What is the full form of 'WPI' ? -How To ?
Last Answer : The full form of 'WPI' is Wholesale Price Index
Description : What is the full form of 'WHO' ? -How To ?
Last Answer : The full form of 'WHO' is World Health Organisation
Description : What is the full form of 'WFTU' ? -How To ?
Last Answer : The full form of 'WFTU' is World Federation of Trade Unions
Description : What is the full form of 'WEF' ? -How To ?
Last Answer : The full form of 'WEF' is World Economic Forum
Description : What is the full form of 'WDV' ? -How To ?
Last Answer : The full form of 'WDV' is Written Down Value
Description : What is the full form of 'WDM' ? -How To ?
Last Answer : The full form of 'WDM' is Wholesale Debt Market
Last Answer : The full form of 'WDM' is World Debt Market
Description : What is the full form of 'WCA' ? -How To ?
Last Answer : The full form of 'WCA' is Workmen's Compensation Act
Description : What is the full form of 'WB' ? -How To ?
Last Answer : The full form of 'WB' is West Bengal
Description : What is the full form of 'WAN' ? -How To ?
Last Answer : The full form of 'WAN' is Wide Area Network
Description : What is the full form of 'WAY' ? -How To ?
Last Answer : The full form of 'WAY' is World Assembly of Youth
Description : What is the full form of 'VVIP' ? -How To ?
Last Answer : The full form of 'VVIP' is Very Very Important Person
Description : What is the full form of 'VSNL' ? -How To ?
Last Answer : The full form of 'VSNL' is Videsh Sanchar Nigam Limited
Description : What is the full form of 'VSSC' ? -How To ?
Last Answer : The full form of 'VSSC' is Vikram Sarabhai Space Centre
Description : What is the full form of 'VSAT' ? -How To ?
Last Answer : The full form of 'VSAT' is Very Small Aperture Terminal
Description : What is the full form of 'VPP' ? -How To ?
Last Answer : The full form of 'VPP' is Value Payable Post
Description : What is the full form of 'VRS' ? -How To ?
Last Answer : The full form of 'VRS' is Voluntary Retirement Scheme
Description : What is the full form of 'VHSE' ? -How To ?
Last Answer : The full form of 'VHSE' is Vocational Higher Secondary School
Description : What is the full form of 'VIP' ? -How To ?
Last Answer : The full form of 'VIP' is Very Important Person
Description : What is the full form of 'VHP' ? -How To ?
Last Answer : The full form of 'VHP' is Vishwa Hindu parishad
Description : What is the full form of 'VGA' ? -How To ?
Last Answer : The full form of 'VGA' is Video Graphic Arry
Description : What is the full form of 'VDU' ? -How To ?
Last Answer : The full form of 'VDU' is Visual Display Unit
Description : What is the full form of 'VDT' ? -How To ?
Last Answer : The full form of 'VDT' is Video Display Terminal