A company is contemplating investing in a new piece of manufacturing machinery. The amount to be invested is $150,000. The present value of the future cash flows is $145,000. Should they invest in this project?

A) yes, because net present value is +$5,000
B) yes, because net present value is -$5,000
C) no, because net present value is +$5,000
D) no, because net present value is -$5,000


D

Business

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