Prepare if a new colleague are mentoring

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Reference no: EM132974291

The president of a large company was asked why the company was holding onto a large amount of cash, instead of investing the cash. The reply was, "Because we see a lack of available positive NPV projects."

For this discussion, prepare 3-4 paragraphs as if a new colleague you are mentoring who is not as knowledgeable as you about finance or accounting reads the above statement. Consider:

Problem 1: Detailing for your colleague what the statement means and why it is important.

Problem 2: Providing an example of at least one project that may have a negative NPV but be worth doing. For example, perhaps the company is posting monitors all over its office to provide employees weather, traffic, and news.

Reference no: EM132974291

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