If a project has a positive net present value,the expected rate of return for the project is:

Question

Quizplus · Accepted Answer

A positive net present value indicates that the project's expected cash inflows are greater than its expected cash outflows, even when taking into account the time value of money. This means that the project is expected to generate a return that exceeds the discount rate, which is the rate used to calculate the present value of future cash flows. Therefore, the expected rate of return for the project must be higher than the discount rate.

If a Project Has a Positive Net Present Value,the Expected