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Rapacity Consultants has just finished a project feasibility study for a cash-rich firm at a cost of $3 million.
The consultants have concluded after much analysis that the project's cash flows have a net present value of $1.3 million and a payback period of 5.3 years. The firm should:
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B. reject the project since it has a long payback period.
C. reject the project since it has a negative NPV.
D. none of these answers.
Answer: A
Explanation:
Explanation/Reference:
Explanation:
The $3 million spent on consultants represent sunk costs and must be ignored while looking toward the future. In that direction, the project has a positive NPV and should be accepted.
NEW QUESTION: 2
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D. スループットとCPU使用率
Answer: D
NEW QUESTION: 3
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NEW QUESTION: 4
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Answer:
Explanation:
Explanation
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