According to the Net Present Value (NPV) Method of Evaluation

question 10

Multiple Choice

According to the net present value (NPV) method of evaluation of projects,if there are cash outflows for multiple periods,then:

• A) the NPV of the project will definitely be negative.
• B) the NPV of the project will definitely be positive.
• C) the discount rate will need to be altered.
• D) those cash outflows will have to be discounted back to the current period.

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