« previous next »

Author Question: A firm has two projects. Project A has an internal rate of return of 6. Project B's internal rate of ... (Read 115 times)

asan beg

  • Hero Member
  • *****
  • Posts: 570
on: Jul 1, 2018
A firm has two projects. Project A has an internal rate of return of 6. Project B's internal rate of return is 11. If the firm's discount rate is 9.57,
 
  A) both projects have a negative net present value.
  B) only project A has a positive net present value.
  C) only project B has a positive net present value.
  D) both projects have a positive net present value.

Question 2

Assel grows mulberry trees. The lumber yard purchases cut trees from you. The trees grow 1 foot per year. Assuming a constant real price per foot for mulberry, at what interest rate would Assel be willing to sell a 10-foot tree today?
 
  A) 3
  B) 5
  C) 8
  D) 12
Microeconomics ¦ Perloff ¦ 8th Edition
Buy Test-Bank


fauacakatahaias

  • Sr. Member
  • ****
  • Posts: 353
Reply #1 on: Jul 1, 2018
Answer to Question 1

C

Answer to Question 2

D


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

In the United States, congenital cytomegalovirus causes one child to become disabled almost every hour. CMV is the leading preventable viral cause of development disability in newborns. These disabilities include hearing or vision loss, and cerebral palsy.

Did you know?

Chronic necrotizing aspergillosis has a slowly progressive process that, unlike invasive aspergillosis, does not spread to other organ systems or the blood vessels. It most often affects middle-aged and elderly individuals, spreading to surrounding tissue in the lungs. The disease often does not respond to conventionally successful treatments, and requires individualized therapies in order to keep it from becoming life-threatening.

Did you know?

Warfarin was developed as a consequence of the study of a strange bleeding disorder that suddenly occurred in cattle on the northern prairies of the United States in the early 1900s.

Did you know?

Methicillin-resistant Staphylococcus aureus or MRSA was discovered in 1961 in the United Kingdom. It if often referred to as a superbug. MRSA infections cause more deaths in the United States every year than AIDS.

Methicilli ...
Did you know?

Liver spots have nothing whatsoever to do with the liver. They are a type of freckles commonly seen in older adults who have been out in the sun without sufficient sunscreen.

Retrograde pyelogram. A contrast medium is injected into the ureter using a cystoscope, and the X-ra Retrograde pyelogram. A contrast medium is injected into the ureter using a cystoscope, and the X-ra
Internal and External Environment Internal and External Environment
Acceptable ranges of respiratory rate Acceptable ranges of respiratory rate
Internal and external attributions Internal and external attributions
How to convert units of any rate to another (Part 3) How to convert units of any rate to another (Part 3)
bird internal bird internal
Video: Factors that increase metabolic rate and heat production

For a complete list of videos, visit our video library