The life that maximizes net present value of an asset is classified as _________?

Related Mcqs:

1. Life that maximizes net present value of an asset is classified as__________?

   A. Minimum life
   B. Present value life
   C. Economic life
   D. Transaction life

2. A discount rate which is equal to the present value of TV to the project cost present value is classified as _________?

   A. negative internal rate of return
   B. modified internal rate of return
   C. existed internal rate of return
   D. relative rate of return

3. The relationship between Economic Value Added (EVA) and the Net Present Value (NPV) is considered as _________?

   A. valued relationship
   B. economic relationship
   C. direct relationship
   D. inverse relationship

4. Relationship between Economic Value Added (EVA) and Net Present Value (NPV) is considered as____________?

   A. Valued relationship
   B. Economic relationship
   C. Direct relationship
   D. Inverse relationship

5. A project whose cash flows are more than the capital invested for rate of return then the net present value will be _________?

   A. positive
   B. independent
   C. negative
   D. zero

6. In capital budgeting, the positive net present value results in _________?

   A. negative economic value added
   B. positive economic value added
   C. zero economic value added
   D. percent economic value added

7. In capital budgeting, a negative net present value results in _________?

   A. zero economic value added
   B. percent economic value added
   C. negative economic value added
   D. positive economic value added

8. A point where the profile of net present value crosses the horizontal axis at the plotted graph indicates the project ___________?

   A. costs
   B. cash flows
   C. internal rate of return
   D. external rate of return

9. The project whose cash flows are sufficient to repay the capital invested for rate of return then the net present value will be ____________?

   A. negative
   B. zero
   C. positive
   D. independent

10. The project whose cash flows are less than the capital invested for required rate of return then the net present value will be ___________?

    A. negative
    B. zero
    C. positive
    D. independent