New Year Sale 2026! Hurry Up, Grab the Special Discount - Save 25% - Ends In 00:00:00 Coupon code: SAVE25
Welcome to Pass4Success

- Free Preparation Discussions

CIMAPRO19-P02-1 Exam - Topic 3 Question 40 Discussion

Actual exam question for CIMA's CIMAPRO19-P02-1 exam
Question #: 40
Topic #: 3
[All CIMAPRO19-P02-1 Questions]

A project requires an initial investment of $50,000. It will generate positive cash flows for two years as follows.

The cost of capital is 12% per year.

What is the equivalent annual net present value of the project?

Give your answer to the nearest $10.

Show Suggested Answer Hide Answer
Suggested Answer: A

Contribute your Thoughts:

0/2000 characters
Ma
4 months ago
I calculated it, and it seems off.
upvoted 0 times
...
Karol
4 months ago
Totally agree, this could be a solid project!
upvoted 0 times
...
Vallie
4 months ago
Wait, are we sure about those cash flow estimates?
upvoted 0 times
...
Venita
4 months ago
I think the cash flows look promising!
upvoted 0 times
...
Ellsworth
5 months ago
The initial investment is $50,000.
upvoted 0 times
...
Noah
5 months ago
Hmm, I'm not entirely sure about the differences between these job types. I'll need to think this through and eliminate the options that don't seem to fit the question.
upvoted 0 times
...
Audria
5 months ago
Okay, let's see. The company has to pay a specified proportion of its profit as profit-sharing, but staff turnover reduces that amount. I think the key is figuring out what the company recognizes as the liability and expense.
upvoted 0 times
...
Caren
5 months ago
This is a tricky one. I'm not entirely sure where to start, but I'll read through the question carefully and try to eliminate any options that don't seem plausible based on my understanding of report management.
upvoted 0 times
...
Leonor
5 months ago
I'm pretty confident it's 50 oF, but I just can't shake the feeling I might have mixed it up with some other topic.
upvoted 0 times
...

Save Cancel