Module 4 Quiz :Introduction to Corporate Finance (Business Foundations Specialization) Answers 2026
Question 1
NPV at 12%
❌ 178.79
❌ 157.33
❌ 52.56
✅ 58.86
Explanation:
NPV = −150 + 100/1.12 + 150/1.12² = 58.86
Question 2
NPV at 12%
❌ −119.94
❌ −136.29
❌ −108.82
✅ −121.875
Explanation:
NPV = −200 + 150/1.12 − 70/1.12² ≈ −121.88
Question 3
NPV at 27%
❌ 255.35
❌ 471.49
❌ 489.08
✅ −117.15
Explanation:
NPV = −500 + 250/1.27 + 300/1.27² ≈ −117.15
Question 4
NPV at 10%
❌ 97.53
❌ 108.37
❌ 14.27
✅ 15.70
Explanation:
NPV = −100 − 100/1.10 + 250/1.10² = 15.70
Question 5
NPV at 36%
❌ 927.73
✅ −179.93
❌ −132.30
❌ 593.75
Explanation:
NPV = −500 + 200/1.36 + 320/1.36² ≈ −179.93
Question 6
IRR
❌ 1.143
❌ 2.143
✅ 0.143
❌ −0.125
Explanation:
−175 + 200/(1+IRR) = 0 → IRR = 0.143 (14.3%)
Question 7
IRR
✅ −0.333
❌ 0.667
❌ 1.667
❌ 0.5
Explanation:
−150 + 100/(1+IRR) = 0 → IRR = −0.333
Question 8
IRR
❌ 2.5
❌ −0.6
✅ −0.5
❌ 3.5
Explanation:
−500 + 250/(1+IRR) = 0 → IRR = −0.5
Question 9
IRR
❌ 2
❌ 1
✅ −2
❌ 0
Explanation:
−100 − 100/(1+IRR) = 0 → IRR = −2
Question 10
IRR
❌ 1.5
❌ 0.4
❌ 1.4
✅ −0.6
Explanation:
−500 + 200/(1+IRR) = 0 → IRR = −0.6
🧾 Summary Table
| Question | Correct Answer | Correct Option | Key Concept |
|---|---|---|---|
| Q1 | 58.86 | D | NPV |
| Q2 | −121.875 | A | NPV |
| Q3 | −117.15 | D | NPV |
| Q4 | 15.70 | D | NPV |
| Q5 | −179.93 | B | NPV |
| Q6 | 0.143 | C | IRR |
| Q7 | −0.333 | A | IRR |
| Q8 | −0.5 | C | IRR |
| Q9 | −2 | C | IRR |
| Q10 | −0.6 | D | IRR |