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The net present value method assumes that all cash inflows can be immediately reinvested in new projects at the a. cost of capital. b. hurdle rate. c. internal rate of return. d. rate on the corporation's short-term debt.

Respuesta :

The net present value method assumes that all cash inflows can be immediately reinvested in new projects at the cost of capital.

What is new present value?

It is computed using the amount of money needed for a future project. The total amount needed will then be deducted from the present money in the organization to get the new present value.

Therefore, the net present value method assumes that all cash inflows can be immediately reinvested in new projects at the cost of capital.

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