A farmer sows a certain crop. It costs $240,000 to buy the seed, prepare the ground, and sow the crop. In one year's time it will cost $93,200 to harvest the crop. If the crop will be worth $350,000, and the interest rate is 7%,
what is the net present value (NPV) of this investment?
A) $240,000
B) $87,103
C) $0
D) $567,103
Answer: C
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A) NYSE B) AMEX C) ECNs D) OTC market E) the Dow
When using the chi-square hypothesis test and the observed frequencies are relatively close to the expected frequencies, which one of the following statements is true?
A) The scenario will result in a smaller chi-square statistic, which increases the likelihood that there is support for the null hypothesis. B) The scenario will result in a smaller chi-square statistic, which increases the likelihood that there is support for the alternative hypothesis. C) The scenario will result in a larger chi-square statistic, which increases the likelihood that there is support for the null hypothesis. D) The scenario will result in a larger chi-square statistic, which increases the likelihood that there is support for the alternative hypothesis.