ocr: Net Present Value (NPV) 300 200 NPV 100 (E's) -100 Project A Project B Project C The NPV chart demonstates that project Cresults in a negative NPV. When the cash intlows are expressed in terms of present values they fail to cover the initial capital outlay. Project C would actually cause a fall in the economic value of the organisation ifi it were to be undertaken. Project A is the most advantageous proposal since it would increase the economic wealth of the organisation by the largest amount. The NPV method is the most theoretically robust of the tour techniques and asa result has become incr ...
(.png)
