Question

mark each od the following statements true or false

Aay pasest, where the sum ofal cestsin esoed the sum of alca-oo thepeoget s hife is Poject X which generates five uniform revenues of $1000 at EOY2 through EoYs is better than considered à good investmient regardless of MARR jet Y which generates the same tise uniform eveoses bar from EOY1 through EOYS, iver that both require the same initial investment For any project, discouored payback period is longer than simple payback period. ( V JA savings accos nt at Bank (A) pays 62% interest, compounded annually. Bank (B) savings account pays 6%, compounded semiannually. Bank (B) s paying less interest each year. ( ) ProectX has been verified to be a good investment for a certain company with MARR of 15%. If the company reevaluated their MARR and put it at 20% then certainly, Project X will not be acceptable any more. XIfa company assessed a 20-years project and calculated its payback perod to be 5 yean, the projectis not guaranteed to represent a good investment for the company

Answer 1

1	FALSE	we have to consider the MARR to access project
2	FALSE	PX generates later that PY, so earlier money reced. Valued more.
3	TRUE	Under discounted CF has less value than undiscounted CF
4	TRUE	BA pays $6.2 on $100 in a year, BB pays $3 + $3.09 = $6.09 on same.
5	FALSE	It will depend on combination of outflow, inflow and MARR.
6	FALSE	it will be considered a good investment.