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Sticky Note
What is the primary purpose of calculating the NPV of an investment?
  1. To assess profitability
  2. To estimate risk
  3. To determine liquidity
  4. To evaluate market share
Explanation

The primary purpose of calculating the NPV of an investment is to assess its profitability.

Net Present Value stands for NPV

It helps in making informed investment decisions 

Related MCQs

Mean of 12, 14, 16, 18 is?
  1. 15
  2. 14
  3. 16
  4. None of these
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Mean of 10, 12, 14 is?
  1. 12
  2. 13
  3. 14
  4. None of these
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Mean of 6, 8, 10, 12 is?
  1. 8
  2. 9
  3. 10
  4. None of these
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Mean of 5, 7, 9 is?
  1. 7
  2. 6
  3. 8
  4. None of these
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7, 6, 10, 8 and 9 are numbers and their frequencies are 2, 2, 5, 1, 2. Find their mean?
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  2. 8.5
  3. 9
  4. None of these
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