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A Project Is Accepted Under the Net Present Value Method

Question 170

Multiple Choice

A project is accepted under the net present value method when


A) the net present value is zero or negative.
B) the total amount of cash inflows exceeds the purchase price of the asset.
C) the purchase price of the asset is less than the present value of net cash inflows.
D) the present value of net cash inflows exceeds a predetermined minimum amount.

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