a. Why should a foreign project be evaluated from both a project and a parent viewpoint? b.

Question:

a. Why should a foreign project be evaluated from both a project and a parent viewpoint?
b. Which viewpoint, project or parent, gives results closer to the traditional meaning of in capital budgeting?
c. Which viewpoint gives results closer to the effect on consolidated earnings per share?
Net Present Value
What is NPV? The net present value is an important tool for capital budgeting decision to assess that an investment in a project is worthwhile or not? The net present value of a project is calculated before taking up the investment decision at...