Projects that are calculated as having negative NPVs should be:
A) depreciated over a longer time period.
B) charged less in overhead costs.
C) discounted using lower rates.
D) rejected or abandoned.

Question

Quizplus · Accepted Answer

Projects with negative NPVs should be rejected or abandoned as they will result in a net loss for the company. Continuing with such projects will only result in further losses and hinder the company's financial performance.

Projects That Are Calculated as Having Negative NPVs Should Be