If the net present value analysis of a project resulted in a positive value and the company did not accept the project, it could be assumed that:

Question

Quizplus · Accepted Answer

A positive net present value indicates that the project is expected to generate a return greater than the required rate of return. Therefore, it is unlikely that the company rejected the project because the return is not sufficient. It is more likely that qualitative factors, such as strategic fit or environmental impact, outweighed the financial benefits of the investment.

If the Net Present Value Analysis of a Project Resulted