How would you explain to your coworker the correct way


Your coworker just heard that senior management had rejected the department's latest proposed project. Although the Net Present Value of the first 5 years' cash flow is a positive $2.3 million, the project's overall Net Cash Flow is negative. Your coworker states to you that senior management is making a huge mistake to give up something that will provide a $2.3 million cash flow! How would you explain to your coworker the correct way to interpret Net Present Value and Net Cash Flow data?

Request for Solution File

Ask an Expert for Answer!!
Finance Basics: How would you explain to your coworker the correct way
Reference No:- TGS0728601

Expected delivery within 24 Hours