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you are considering three independent projects. the analysts have done their research and data analytics and have determined the npv of all 3 projects. project a's npv is 2.3 project b's npv is 1 project c's npv is -1

Sagot :

NVP or net present value or net present worth applies to a series of cash flows which is occurring at different intervals of time.  The present value of a cash flow depends on the interval of time between now and the cash flow. It also depends on the discount rate. It accounts for the time value of money.

So the higher the NVP or net present value the better the chances of the business flourishing.

With all that said the answer has to be project A which has an NVP of 2.3 as estimated by the analysts and should be the go to business for me to invest.

Learn more about NVP here brainly.com/question/14697530

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