Question: Select the ONE correct statement. 1. most firms make decisions solely on payback period. 2. profit is more important than cash flow in capital budgeting

Select the ONE correct statement.

1. most firms make decisions solely on payback period.

2. profit is more important than cash flow in capital budgeting calculations.

3. capital budgeting decisions are typically easily reversed.

4. most firms use more than one capital budgeting technique.

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