A project should be accepted when its net present value (NPV) is:

✅Explanation:
Net Present Value (NPV) is a financial metric used to determine the profitability of a project or investment. It calculates the present value of expected future cash flows from the project, discounted at a rate that reflects the project's risk.
-Positive NPV: Indicates that the project is expected to generate more cash inflows than outflows, making it a profitable investment.
-Negative NPV: Indicates that the project is expected to result in a net loss, making it an unprofitable investment.
-Zero NPV: Indicates that the project is expected to break even, meaning the cash inflows will equal the cash outflows.
Therefore, a project should be accepted when its NPV is positive, as it indicates that the project will add value to the company or investor.

• Related Terminologies:
-Discount Rate: The rate used to discount future cash flows to their present value. It reflects the time value of money and the risk associated with the project.