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Which One of the Following Increases the Net Present Value

Question 3

Multiple Choice

Which one of the following increases the net present value of a project?


A) an increase in the required rate of return
B) an increase in the initial capital requirement
C) a deferment of some cash inflows until a later year
D) an increase in the aftertax salvage value of the fixed assets
E) a reduction in the final cash inflow

Correct Answer:

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