In the context of project appraisal, a project is considered economically viable if: MCQ with Answer and Explanation

In the context of project appraisal, a project is considered economically viable if:
A. The present value of costs exceeds the present value of benefits
B. The present value of benefits exceeds the present value of costs
C. Social costs are ignored
D. Only financial costs are considered
Answer: Option B
Solution (By JKSSB Mock Tests)
In cost-benefit analysis, a project is viable when the discounted present value of its benefits exceeds the discounted present value of its costs (positive net present value).

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Practice More Economy Set 1 Questions

Question #1
Which of the following is a major source of agricultural credit in India?
A. Stock exchanges
B. Commercial banks, cooperative banks and Regional Rural Banks
C. Mutual funds
D. Foreign institutional investors only

Correct Answer: Option B


Explanation:
Institutional agricultural credit in India is primarily provided by commercial banks, cooperative banks and Regional Rural Banks, with refinancing support from NABARD.

This question belongs to: Economy GK Economy Set 1
Question #2
The 'Rashtriya Uchchatar Shiksha Abhiyan' is related to:
A. higher education
B. adult literacy
C. skill development
D. primary education

Correct Answer: Option A


Explanation:
RUSA is a centrally sponsored scheme for higher education.

This question belongs to: Economy GK Economy Set 1
Question #3
The 'Universal Account Number' is related to which social security scheme?
A. Pension
B. EPF
C. Maternity benefit
D. Insurance

Correct Answer: Option B


Explanation:
UAN is the universal account number for EPF members.

This question belongs to: Economy GK Economy Set 1