If a Project Has a Positive NPV from Both the Parent's

question 34

Multiple Choice

If a project has a positive NPV from both the parent's and the project's perspective, then the parent firm should ______.

• A) accept the project
• B) reject the project
• C) accept the project and try to capture the value in the foreign currency today
• D) reject the project and continue to look for positive-NPV projects in the foreign currency
• E) None of the above