CIMAPRO19-P02-1 Exam - Topic 7 Question 130 Discussion

Actual exam question for CIMA's CIMAPRO19-P02-1 exam

Question #: 130
Topic #: 7

[All CIMAPRO19-P02-1 Questions]

The following data are available for four projects with unequal lives.

A 10% discount rate is appropriate for all four projects.

Which project has the highest equivalent annual benefit?

AProject A

BProject B

CProject C

DProject D

Show Suggested Answer

Suggested Answer: B

by Tora at Jul 15, 2026, 08:50 AM

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15 hours ago

I think Project B had the highest NPV in a similar question we did, but I’m not confident about the annualization part.

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6 days ago

I remember we practiced calculating equivalent annual benefits, but I’m not sure how to apply it with projects of unequal lives.

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