Question: 6. The net present value decision technique uses a statistic denominated in: Answer A. Years B. Currency C. a percentage D. time lines 7. Which
6. The net present value decision technique uses a statistic denominated in: Answer A. Years B. Currency C. a percentage D. time lines 7. Which of the following is a technique for evaluating capital projects that tells how long it will take a firm to earn back the Answer money invested in a project plus interest at market rates? A. Payback B. Discounted payback C. Net present value D. Profitability index 8. Which of these describe groups or pairs of projects where you can accept one but not all? Answer A. Dependent B. Independent C. Mutually exclusive D. Mutually dependent 9. Which of these is a capital budgeting technique that generates a decision rule and associated metric for choosing projects based on Answer the total discounted value of their cash flows? A. Discounted payback B. Net present value C. Internal rate of return D. Profitability index 10. Neither payback period nor discounted payback period techniques for evaluating capital projects account for: Answer A. time value of money B. market rates of return C. cash flows that occur after payback D. cash flows that occur during payback
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