You Are Given a Job to Make a Decision on Project

Multiple Choice

You are given a job to make a decision on project X, which is composed of three independent projects A, B, and C which have NPVs of + $70, -$40 and + $100, respectively. How would you go about making the decision about whether to accept or reject the project?

A) Accept the firm's joint project as it has a positive NPV
B) Reject the joint project
C) Break up the project into its components: accept A and C and reject B
D) None of the above