If the net-present value of an investment is positive,which of the following is true?
A) The net-present-value represents the amount of profit the company will make if it buys the asset.
B) Describes the actual amount of the expected return.
C) Indicates that the return the new asset will generate is expected to exceed the cost of capital.
D) Describes the amount of difference between the expected return and the cost of capital.
Correct Answer:
Verified
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