Question: Instructions: This is a Multiple-Answer Question . Unlike a Multiple-Choice type question, in this type of question, you are offered the listed choices [square clickable
Instructions: This is a Multiple-Answer Question. Unlike a Multiple-Choice type question, in this type of question, you are offered the listed choices [square clickable boxes] -- you are allowed to choose AS MANY choices that is/are appropriate, i.e. one or more by clicking on the square-box choices.
WARNING: If you pick incorrect one(s), there will be a penalty -- this is to prevent exam-takers from picking ALL to "at least get one correct". You will score the highest by picking only the correct one(s).
Actual Multiple-Answer Question Listed Below:
[click one or more boxes] Which of the following statement(s) with regard to the method, calculation, use of Payback Period PB and Discounted Payback Period DPB in Capital Budgeting is(are) TRUE? [click one or more boxes]
| PB may be used if the project's cash flow is a nonnormal cash flow. | ||
| PB and DPB are considered part of the Additional Methods in Capital Budgeting. | ||
| DPB is an appropriate method for comparing Projects of Unequal Lives. | ||
| We should use DPB instead of PB for all types of project cash flows from one period to the next. | ||
| PB and DPB gives us a good idea of when (how soon) we recover the amount of investments of our potential project. |
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