Answer to Question #214451 in Management for Anathi Tobigunya

Question

After much planning and deliberation, Kabelo and Hendrik decide to base their decision on investing in cryotherapy on the net present value of the investment they would have to make in order to purchase the cryotherapy equipment for Fitness gym. Their calculations determine that the NPV for the cryotherapy equipment is R365 234. This means that Kabelo and Hendrik must ______________ .

1 contact a business consultant to assist with better decision-making criteria

2 reject the project and develop a new proposal

3 accept the project and install the new equipment as soon as possible

4 delay their decision until more information becomes available

Answer 1

contact a business consultant to assist with better decision-making criteria