A project with a negative net present value should be: A) ...

[bucstennis@aim.com]

A project with a negative net present value should be:
 A) rejected as it does not take the time value of money into account.
  B) rejected since the expected future cash flows from the project are less than the cost of the investment.
  C) accepted since the net present value does not alter the company's capital budgeting.
  D) accepted since the expected future cash flows from the project exceed the cost of the investment.

Question 2

A limited-liability company extends the concept of personal-asset protection to small business owners.
 
 Indicate whether the statement is true or false

[underwood14]

Answer to Question 1

B

Answer to Question 2

True