Projects That Are Calculated as Having Negative NPVs Should Be

question 13

Multiple Choice

Projects that are calculated as having negative NPVs should be:

• A)Depreciated over a longer time period
• B)Charged less in overhead costs
• C)Discounted using lower rates
• D)Rejected or abandoned

---

Definitions:

Financial Reserves

Assets that are saved or conserved for future use, offering a buffer against financial challenges or emergencies.

Organizational Culture

The shared values, beliefs, norms, and practices that shape the social and psychological environment of an organization.

Internal and External Constraints

The limitations or restrictions within an organization (internal) and those arising from outside it (external) that impact its performance and operations.

CEO Position

The highest-ranking executive role in an organization responsible for making major corporate decisions, managing the overall operations and resources, and serving as the main point of communication between the board of directors and corporate operations.