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A Government Agency Has a New Hydroelectric Project That Will

Question 28

Multiple Choice

A government agency has a new hydroelectric project that will take 15 years to build before it pro?vides any benefits.The net present value of the project will be highest under which of the following discount rates?


A) 0 percent
B) 1 percent
C) 3 percent
D) 5 percent

Correct Answer:

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