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Project a Has a Net Present Value of $10,500, While

Question 35

Multiple Choice

Project A has a net present value of $10,500, while project B has a net present value of $25,000. The company can select only one project. Which project should it select, and why?


A) project A because it has a higher NPV than project B
B) project B because it has a higher NPV than project A
C) project A because it has a lower NPV than project B
D) project B because it has a lower NPV than project A

Correct Answer:

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