A company used the net-present-value method to analyze an investment and found the investment to be very attractive. If the firm used Modified Accelerated Cost Recovery System (MACRS) and changes to the straight-line depreciation, the investment's net present value will:
A. decrease.
B. fluctuate in an erratic manner.
C. increase.
D. change, but the direction cannot be determined based on the data presented.
E. remain the same.
Answer: A
You might also like to view...
The sum of the cash generated or used by each section of the statement of cash flows should equal the difference between the beginning and ending balance of the cash and cash equivalent accounts
a. True b. False Indicate whether the statement is true or false
In relation to no-load funds, load funds show
A) significantly better performance. B) significantly poorer performance. C) about the same performance. D) poorer performance but lower operating costs.
Jake reports to the courier department Monday through Friday and stays from 9 am to 5 pm but many times does not have enough work to keep him busy
Regardless, he is paid for a full eight hours even on those days when he spends more time on social media than delivering supplies. This is an example of undertime. Indicate whether the statement is true or false
The major advantage of the laboratory method of testing for advertisement effectiveness is the ________ it affords a researcher.
A. lack of bias B. realism C. generalization D. control E. external validity