We Accept Projects with a Positive NPV Because It Means

question 15

Multiple Choice

We accept projects with a positive NPV because it means that

• A) we have recovered all our costs.
• B) we are creating wealth for shareholders.
• C) the project's expected return exceeds the cost of capital.
• D) all of the options.

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Definitions:

Society Stakeholders

Individuals or groups that are impacted by or can impact the activities of a business, including customers, employees, investors, and the local community.

Socially Responsible

Conducting oneself or one's business in a manner that considers and respects ethical, environmental, and community values.

Community Relations

The efforts an organization undertakes to manage and improve its relationships and interactions with the communities in which it operates.

Socially Responsive

Refers to businesses or entities that act in a manner that benefits societal goals and addresses social issues beyond their immediate profit interests.