Question

What does a positive Net Present Value indicate according to NPV rules?

a.

The project is acceptable

b.

The project is avoidable

c.

The project has alternatives

d.

The project is not applicable

Answer: (a).The project is acceptable Explanation:According to NPV rules, if the Net Present Value is positive, the project is acceptable.

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Q. What does a positive Net Present Value indicate according to NPV rules?

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