The net present value (NPV) of a project is negative when the discount rate used is:?

A. ?equal to the internal rate of return.
B. ?equal to the yield to maturity of the bonds issued to finance the project.
C. ?greater than the internal rate of return.
D. ?lower than the coupon rate of the bonds issued to finance the project.
E. ?less than the internal rate of return.


Answer: C

Business

You might also like to view...

Which of the following costs normally is expensed in the year incurred, regardless of the extent of future benefit?

A) Technology B) Customer lists C) Research and development D) Leasehold improvements

Business

Which one of the following represents opinion pollster Elmo Roper's hypothesis that ideas in public information campaigns penetrate publics slowly through a process similar to osmosis?

A. Semantics of language D. Spread of an Internet virus B. Concentric-circle theory E. Congruent communication process C. One-way sender/receiver model

Business

Payments made by one parent to the custodial parent to help pay for the costs associated with the child's cost of living would be classified as:

A) child support. B) alimony. C) spousal support. D) temporary alimony.

Business

Entrepreneurs' intentions are based on their perception of feasibility rather than someone else's impression of whether it is feasible. 

Answer the following statement true (T) or false (F)

Business