You have put together a set of cash ﬂow forecasts for a project and have found, on your ﬁrst
calculation, that the NPV is positive. You should try to identify some source of value in the project.

Question

Quizplus · Accepted Answer

A positive NPV indicates that the cash inflows are greater than the cash outflows and the project is expected to generate a profit. Identifying the source of value can help to further assess the potential success of the project and ensure that it aligns with the organization's goals and objectives.

You Have Put Together a Set of Cash ﬂOw Forecasts