Question: Briefly explain why the following statement is true, false or uncertain. Suppose you are evaluating a project such as a road where the annual benefits

Briefly explain why the following statement is true, false or uncertain.

Suppose you are evaluating a project such as a road where the annual benefits are increasing with calendar time. The present value (PV) of the investment costs of building the road is the same amount no matter when the road is built. In this case the net present value of the project will be increased if the date that the road is completed and ready for service is postponed.

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