To increase a given present value, the discount rate should be adjusted

Related MCQs

• In Risk-Adjusted Discount Rate method, the normal rate of discount is:
• In Risk-Adjusted Discount Rate method, which one is adjusted?
• If the Money Discount Rate is 19% and Inflation Rate is 12%, then the Real Discount Rate is:
• The discount rate which equates the present value of cash inflows with the present value of cash out flows is called -------
• Which of the following recognizes risk in capital budgeting analysis by adjusting estimated cash flows and employs risk free rate to discount the adjusted cash flows?
• The credit policy of Spurling Products is "1.5/10, net 35." At present 30% of the customers take the discount, 62% pay within the net period, and the rest pay within 45 days of invoice. What would receivables be if all customers took the cash discount?
• Find the present value of Rs. 1,000 receivable 6 years hence if the rate of discount is 10 percent.
• The present value of total cash inflows should be compared with present value of ----------------------
• What is the value of the tax shield if the value of the firm is $5 million, its value if unlevered would be $4.78 million, and the present value of bankruptcy and agency costs is $360,000?
• The discount rate which forces net present values to become zero is classified as