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.
C
You might also like to view...
Internal control systems are subject to limitations that usually arise from either (1) human error or human fraud, or (2) the cost-benefit principle.
Answer the following statement true (T) or false (F)
Libraries can be helpful places to find information about current job requirements and conditions
Indicate whether the statement is true or false.
When should complete inspection be used?
A) when inspection tests are destructive B) when inspection tasks are monotonous C) when the cost of product failure is high relative to the inspection costs D) when quality is a competitive priority
In a ____________, all functional activities are controlled by a product group at headquarters; local managers do not usually provide input into product decisions and are involved only in local administrative, legal, and financial affairs.
A. global area division structure B. regional lattice structure C. regional headquarters structure D. global product division structure E. global transnational division structure