What is the fundamental flaw of using the internal rate of return method? Is it a problem
Question:
What is the fundamental flaw of using the internal rate of return method? Is it a problem in practice?
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 100% (QA)
IRR is flawed because it does not address the generally accepted objective of shareholder w...View the full answer
Answered By
Muhammad Umair
I have done job as Embedded System Engineer for just four months but after it i have decided to open my own lab and to work on projects that i can launch my own product in market. I work on different softwares like Proteus, Mikroc to program Embedded Systems. My basic work is on Embedded Systems. I have skills in Autocad, Proteus, C++, C programming and i love to share these skills to other to enhance my knowledge too.
3.50+
1+ Reviews
10+ Question Solved
Related Book For
Question Posted:
Students also viewed these Business questions
-
Adjustments: A debtor, S Smith, who owed R233.10, has been declared insolvent. The entire debt is to be written off. The provision for doubtful debts is to be adjusted to 2.50% of book debts....
-
A medical student wants to test the claim that males who smoke have pulse rates with a mean greater than 70. She collects sample data by surveying her fellow medical students. What is the fundamental...
-
a. Mr. Krog is not convinced by Peters analysis and has turned to you, an outside consultant, to provide a preliminary estimate of lost profit. Using the limited information contained in the...
-
Create a use case diagram that would illustrate the use cases for the following dentist office system: Whenever new patients are seen for the first time, they complete a patient information form that...
-
How can inflation affect the distribution of income?
-
2. Convert binary 1110101100012 to decimal, hexadecimal and octal. 3. Convert Hexadecimal 8FC216 in decimal, binary and octal.
-
Determine the volume flow rate and minimum power input to the water pump in Fig. P5.117. Determine the actual power if the hydraulic efficiency is \(75 \%\) and losses in the motor and bearings are...
-
Figure 4-37 includes an EER diagram describing a publisher specializing in large edited works. Transform the diagram into a relational schema that shows referential integrity constraints (see Figure...
-
When I am looking for an experimental Modulus of elasticity in a reinforced concrete Beam, where do I start my .1% offset on my load over the deformation graph? Is it .001 or .1% of the total...
-
T2125 - part 3B - line 3H - part 3C - line 8299 - part 4 - line 4A (all same value) Answer: Question 2 *BONUS T2125 - part 7 - line 7H subtotal of business-use-of-home expenses Answer: Question 3...
-
Evidence shows that many businesses use more than one of the four methods of investment appraisal found in practice. What could be the reason for this?
-
The payback period method of assessing potential investment projects is badly flawed, but it is widely used nonetheless. Why is it so widely used?
-
The current cost function for a lab that evaluates Pap smears is C = 200,000 + 25 Q. Q, the annual volume of tests, is forecast to be 30,000. The incremental cost is $25 because each evaluation...
-
Suppose the interest rate is 3.9%. a. Having $500 today is equivalent to having what amount in one year? b. Having $500 in one year is equivalent to having what amount today? c. Which would you...
-
Michelle Ellis transfers land and inventory to Verve Corporation in return for 100 percent of its stock. The land has a fair market value of $200,000 and an adjusted basis of $90,000. The inventory...
-
The local electronics store is offering a promotion 1-year: same as cash, meaning that you can buy a TV now, and wait a year to pay (with no interest). So, if you take home a $1250 TV today, you will...
-
Assume the same facts in 53 except Olivia received 40 shares and the fair market value of the property she contributed was $16,000. Is the transaction nontaxable under Code Sec. 351?
-
You plan to borrow $5000 from a bank. In exchange for $5000 today, you promise to pay $5400 in one year. What does the cash flow timeline look like from your perspective? What does it look like from...
-
Jensen Company invented a new process for manufacturing ice cream. The ingredients are mixed in high-tech machinery that forms the product into small round beads. Like a bag of balls, the ice cream...
-
Recall that Chapter 8 described the binary search algorithm for finding a particular entry in an ordered list. The idea behind binary search is to begin looking in the exact center of the list. If...
-
Newtake Records Ltd owns a small chain of shops selling rare jazz and blues records. At the beginning of June, the business had an overdraft of 35,000 and the bank had asked for this to be eliminated...
-
Newtake Records Ltd owns a small chain of shops selling rare jazz and blues records. At the beginning of June, the business had an overdraft of 35,000 and the bank had asked for this to be eliminated...
-
A sales manager has suggested that more units of a particular service could be sold if prices were lowered and that, overall, this would result in increased profits. This suggestion would lead to a...
-
Mary Ann purchased a second-hand Subaru from Unfriendly Motors Ltd., a used car dealership, under a conditional sale agreement. Mary Ann used the car for several months and made her payments...
-
Inter-Island Planes have an average round-trip ticket to Boracay price of P8,000 with a standard deviation of P1,500. Its competitor, Island 2 Island Planes has an average price of P9,000 for the...
-
How do mitochondria contribute to cellular signaling pathways, particularly in the context of calcium homeostasis and reactive oxygen species (ROS) production, and what is the impact of mitochondrial...
Study smarter with the SolutionInn App