Multiple Choice
Which of the following statements regarding the NPV decision rule is false?
A) Reject projects with an NPV of zero, as accepting them is equivalent to losing the present value of the projects' costs.
B) When faced with a set of alternatives, choose the one with the highest NPV.
C) Accept those projects with a positive NPV, as accepting them is equivalent to receiving their NPV in cash today.
D) Reject those projects with a negative NPV, as not doing them has NPV = 0.
Correct Answer:
Verified
Correct Answer:
Verified
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