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Management · Q499

Financial Management

Graduate and Post Graduate · Management · question 499

Q499

Project whose cash flows are less than capital invested for required rate of return then net present value will be

A.
negative
Answer
B.
zero
C.
positive
D.
independent

Answer: Option A

Solution

Answer: Option A
Solution:
Project whose cash flows are less than capital invested for negativerequired rate of return then net present value will be negative.