Valid PMP Dumps shared by ExamDiscuss.com for Helping Passing PMP Exam! ExamDiscuss.com now offer the newest PMP exam dumps, the ExamDiscuss.com PMP exam questions have been updated and answers have been corrected get the newest ExamDiscuss.com PMP dumps with Test Engine here:
A bank is considering building another branch in one of three neighboring cities. The project manager has been tasked with demonstrating the benefits of building a new branch, renting an existing building, or not expanding at all. How should the project manager proceed?
Correct Answer: B
The project manager should calculate the costs for each option in each location and compare the net present value (NPV) for each. This is because NPV is a comprehensive financial metric that takes into account both the timing and the amount of cash flows, providing a complete picture of the profitability and financial feasibility of the project. It is a standard method for using the time value of money to appraise long-term projects. By comparing the NPV of each option, the project manager can identify the most financially viable option. References: Project Management Institute. (2021). A Guide to the Project Management Body of Knowledge (PMBOKGuide)-Seventh Edition. Project Management Institute, Inc.