CIMA Advanced Management Accounting P2 Question # 28 Topic 3 Discussion

CIMA Advanced Management Accounting P2 Question # 28 Topic 3 Discussion

P2 Exam Topic 3 Question 28 Discussion:
Question #: 28
Topic #: 3

Which of the following correctly defines the expected value of a project?


A.

The weighted average of the possible outcomes of the project.


B.

The actual amount of incremental wealth that the project will generate.


C.

The most likely amount of incremental wealth that the project will generate.


D.

The present value of the positive cash flows that the project will generate.


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