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Author Question: Analysts at Tabby Fur Storage predict that the net present value of a proposed new $10 million ... (Read 27 times)

james0929

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on: Apr 25, 2021
Analysts at Tabby Fur Storage predict that the net present value of a proposed new $10 million warehouse is $1 million. How should these findings be interpreted?
◦ Although NPV is positive, its value is too low for such a large expenditure and as a result, the project should be rejected.
◦ The project should be rejected because the NPV is less than the cost of the warehouse.
◦ The project should be accepted because it will add value to the firm.
◦ More information such as the payback period should be evaluated since the reliance on only one capital budgeting technique should be discouraged.
◦ The project does not meet the acceptance criteria of the NPV method and should be rejected.
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Marked as best answer by james0929 on Apr 25, 2021

jomama

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Reply #1 on: Apr 25, 2021
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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james0929

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Reply 2 on: Apr 25, 2021
Thanks for the timely response, appreciate it

kthug

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Reply 3 on: Yesterday
YES! Correct, THANKS for helping me on my review

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