Which is a true statement regarding using a higher discount rate to calculate the net present value
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Which is a true statement regarding using a higher discount rate to calculate the net present value of a project?
(a) It will make it less likely that the project will be accepted.
(b) It will make it more likely that the project will be accepted.
(c) It is appropriate to use a higher rate if the project is perceived as being less risky than other projects being considered.
(d) It is appropriate to use a higher rate if the project will have a short useful life relative to other projects being considered.
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Related Book For
Accounting Tools For Business Decision Making
ISBN: 9781118771112
5th Edition
Authors: Kimmel, Wetlands, Kieso
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