Question
Which factors would lead to a higher NPV, all else equal? (select all that apply) Group of answer choices The equipment for pipe production would
Which factors would lead to a higher NPV, all else equal? (select all that apply)
Group of answer choices
The equipment for pipe production would cost $3,000,000 instead of $1,300,000
Variable costs would be lower at $0.10 per pipe instead of $0.25
Sales would grow at 5% each year instead of growing at 0% each year
You would be able to expense the equipment instead of depreciating it
Corporate tax rate would be reduced from 40% to 21%
Fixed costs would be higher at $200,000 instead of $25,000
The appropriate discount rate would be 25% instead of 15%
You could sell the equipment at the end of the project's life for $1,000,000 (instead of the $650,000 in the original evaluation)
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