The __________ a project's variability in cash flows,and the __________ the positive correlation between the project's cash flow and MNC's cash flow,the lower the risk of the project.
A) higher;higher
B) higher;lower
C) lower;lower
D) lower;higher

Question

Quizplus · Accepted Answer

A lower variability in cash flows means there is less uncertainty and risk associated with the project. A lower positive correlation between the project's cash flow and MNC's cash flow means that the project's success is not heavily dependent on the success of the MNC as a whole, thus reducing the overall risk of the project.

The __________ a Project's Variability in Cash Flows,and the __________

The a Project's Variability in Cash Flows,and the