Question: FIA project's average net income divided by its average book value is referred to as the project's average: A ) Net present value. B )
FIA project's average net income divided by its average book value is referred to as the project's average:
A Net present value.
B Internal rate of retum.
C Accounting return.
D Profitability index.
E Payback period.
When the present value of the cash inflows exceeds the initial cost of a project, then the project should be:
A Accepted because the payback period is less than the required time period.
B Accepted because the profitability index is greater than
C Accepted because the profitability index is negative.
D Rejected because the internal rate of retum is negative.
E Rejected because the net present value is positive.
Guerilla Radio Broadcasting has a project available with the following cash flows:
tableYearCash Flow$
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