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Accepting a project with a ________ NPV makes the firm worse off financially bec

ID: 2374300 • Letter: A

Question

Accepting a project with a ________ NPV makes the firm worse off financially because the cost of the investment exceeds the ________. Answer A. positive; present value of future benefits B. positive; present value of present cash flows C. negative; present value of future cash flows D. negative; present value of present cash flows

Accepting a project with a ________ NPV makes the firm worse off financially because the cost of the investment exceeds the ________. Accepting a project with a ________ NPV makes the firm worse off financially because the cost of the investment exceeds the ________. positive; present value of future benefits positive; present value of present cash flows negative; present value of future cash flows negative; present value of present cash flows

A. positive; present value of future benefits B. positive; present value of present cash flows C. negative; present value of future cash flows D. negative; present value of present cash flows

Explanation / Answer

B. positive; present value of present cash flows