What Should Occur When a Project's Net Present Value Is

question 52

Multiple Choice

What should occur when a Project's net present value is determined to be negative?

• A)the discount rate should be decreased.
• B)the profitability index should be calculated.
• C)the present value of the project cost should be determined.
• D)the project should be rejected.

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Definitions:

Emotional Distress

Psychological suffering or distress inflicted upon a person due to another's actions, often a factor in personal injury lawsuits.

Cease-And-Desist Order

A legal order issued by a court or government authority demanding the halting of specified activities.

Administrative

Pertaining to the execution of laws and the management of public affairs; often related to the functions and activities of government agencies.

Judicial Order

A directive issued by a court or a judge requiring a person or entity to do or refrain from doing something.