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A Prospective Project Under Consideration by the Internet Division of Communications

Question 65

Multiple Choice

A prospective project under consideration by the Internet Division of Communications Corporation.has an estimated residual income of $(20,000) .If the project requires an investment of $400,000,the


A) project generates a negative return on investment.
B) project's return on investment is zero.
C) project's return on investment is 5% less than the company's target rate.
D) company's target rate is 15%

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