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Net Present Value Can Be Calculated for Any Time Period

Question 59

Multiple Choice

Net Present Value can be calculated for any time period provided that


A) both the interest rate and the time period correspond to the period being examined.
B) the interest rate is stipulated as an annual percentage but the time period corresponds to the period being examined.
C) the time period is stipulated as an annual period but the interest rate corresponds to the period being examined.
D) a spreadsheet is used for the calculation since this cannot be computed on a financial calculator.

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