Solved

Assume a Project Has Normal Cash Flows

Question 15

Multiple Choice

Assume a project has normal cash flows.Given this,you should accept the project


A) if,and only if,the NPV is exactly equal to zero.
B) only if the NPV is equal to the initial cash flow.
C) if the NPV is positive and reject it if the NPV is negative.
D) if the total cash inflows exceed the initial cash outflow.
E) because it has positive cash flows for every time period after the initial investment.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions