Projects with a Zero or Positive Net Present Value (NPV)

Projects with a zero or positive net present value (NPV) are accepted using the net present value method. Why is this so?

A) Because a non-negative NPV ensures the company will be profitable.
B) Because the company will have the relevant cash flow to pay its debts as, and when, they fall due.
C) Because the return is at least equal to the cost of capital.
D) Because a non-negative NPV ensures the company will be profitable AND because the company will have the relevant cash flow to pay its debts as, and when, they fall due.

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