A positive net present value of a long-term asset under consideration for purchase indicates that the asset should not be purchased.

Name: A positive net present value of a long-term asset under consideration for purchase indicates that the asset should not be purchased.
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Question

Quizplus · Accepted Answer

A positive net present value indicates that the investment will generate more cash inflows than outflows and is therefore financially beneficial. Therefore, purchasing the asset would be a good decision.

A Positive Net Present Value of a Long-Term Asset Under