You are viewing a graph that plots the NPVs of a project to various discount rates that could be applied to the project's cash flows.What is the name given to this graph?
A)project tract
B)projected risk profile
C)NPV profile
D)NPV route
E)present value sequence

Question

Quizplus · Accepted Answer

This graph is commonly known as the NPV profile, as it shows the net present value of a project at different discount rates. It is useful for determining the discount rate at which a project's NPV is maximized, and therefore helps in making decisions regarding project viability. The other answer choices are incorrect or do not accurately reflect the purpose of this graph.

You Are Viewing a Graph That Plots the NPVs of a Project