CIMA Fundamentals of Business Economics BA1 Question # 56 Topic 6 Discussion

CIMA Fundamentals of Business Economics BA1 Question # 56 Topic 6 Discussion

BA1 Exam Topic 6 Question 56 Discussion:
Question #: 56
Topic #: 6

Which of the following best describes a project that has a negative Net Present Value?


A.

A loss making project


B.

A project that doesn't make enough profit to pay the interest on the money borrowed to invest in it


C.

A project that doesn't make sufficient returns to fully compensate investors for the funds they invest in it


D.

A project that will only start making profits after the present year has finished


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