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Commerce · Q1068

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Graduate and Post Graduate · Commerce · question 1068

Q1068

When is the net present value negative,

A.
the present value of cash outflows is greater than the future value of cash outflows
B.
the future value of cash inflows is greater than the present value of cash outflows
C.
the present value of cash outflows is greater than the present value of cash inflows
Answer
D.
the present value of cash inflows is greater than the present value of cash outflows

Answer: Option C

Solution

Answer: Option C
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