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PGMP · Question #547

PGMP Question #547: Real Exam Question with Answer & Explanation

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Benefits Management

Question

The program selection committee presents several programs for approval: Program A is estimated to cost US$250,000, and has an annual cash inflow of US$75,000. Program B is estimated to cost US$150,000, and has an annual cash inflow of US$55,000. Program C is estimated to cost US$100,000, and has an annual cash inflow of US$45,000. Program D is estimated to cost US$200,000, and has an annual cash inflow of US$35,000. Which program was selected based solely on a three-year return on investment?

Options

  • AProgram A
  • BProgram B
  • CProgram C
  • DProgram D

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Topics

#Return on Investment (ROI)#Financial Analysis#Program Selection#Benefits Management
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