Danielle, the Regional Manager of CDz Music Store, Is Trying

question 135

Multiple Choice

Danielle, the regional manager of CDz music store, is trying to determine if the store should invest in a new computerized inventory tracking system. Using financial analysis, she would decide that the investment was desirable in which of the following situations?

• A) if total positive cash flows were greater than total negative cash flows
• B) if its NPV were equal to or greater than zero
• C) if the firm had enough cash to make the purchase without having to arrange additional financing
• D) if its NPV were less than zero

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Definitions:

Logic 0

Represents a low state or off condition in digital electronics or binary systems.

Programmed XIO Instruction

In PLC programming, an "Examine if Open" instruction that checks if a specific condition or input is false.

Bit Status

Refers to the on or off condition of a bit within a digital system, where '0' typically represents off and '1' represents on.