When Using Simulation to Analyze a Large Capital Project, the Decision

Multiple Choice

When using simulation to analyze a large capital project, the decision rule is

A) There is no clear cut decision rule, but the probabilities will produce a more informed decision.
B) Accept the project if the probability of a positive NPV is greater than 50%.
C) Reject the project if the probability of a negative NPV is greater than 5%
D) Reject the project if the probability of a negative NPV is greater than 16%