Which of the following results of net present value analyses is the least acceptable?
A) $(15,000)
B) $(1,000)
C) $12,000
D) $0
E) $20,000

Question

Quizplus · Accepted Answer

When the result of the net present value analysis is negative, it means that the project's future cash flows are not enough to cover its initial investment and required rate of return. This makes option A, with a negative NPV of $(15,000), the least acceptable choice. Therefore, the best choice is A.

Which of the Following Results of Net Present Value Analyses