This a Capital budgeting question: managerial accounting question:

why would a companyhold onto a large amount of cash, instead of investing the cash? Some would say, "Because we see a lackof available positive NPV projects, but what would be the right thing?

new colleague you are mentoring who is not as knowledgeable as you about finance or accounting reads the above statement.

How do you explain to a colleague what the statement means andwhy it is important?

What are examples of project a negative NPV but be worth doing? An example, perhaps the company is posting monitors all over its office to provide employees weather, traffic, and news.