CTFL_Syll2011_A Exam Questions and Answers

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NEW QUESTION: 1
An analyst is developing net present value (NPV) profiles for two investment projects. The only difference between the two projects is that Project 1 is expected to receive larger cash flows early in the life of the project, while Project 2 is expected to receive larger cash flows late in the life of the project. The slope of the NPV profile for Project 1 when compared to the slope of the NPV profile for Project 2 is most likely:
A. Steeper
B. Equal
C. Flatter
D. Unequal
Answer: C


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