If the net present value (NPV) of project A is + $100, and that of project B is + $60, then the net present value of the combined project is:
A) +$100
B) +$60
C) +$160
D) None of the above

Question

Quizplus · Accepted Answer

To find the net present value of the combined project, we add the net present values of project A and project B. 
NPV of combined project = NPV of project A + NPV of project B 
NPV of combined project = $100 + $60 
NPV of combined project = $160 
Therefore, the net present value of the combined project is +$160, which corresponds to choice C.

If the Net Present Value (NPV) of Project a Is