Question: The appropriate discount rate that analysts use in computing the present value of future cash flows is comprised of which of the following: a .
The appropriate discount rate that analysts use in computing the present value of future cash flows is
comprised of which of the following:
a an increase reflecting the inflation expected to occur over the life of the project.
b a risk factor reflecting the riskiness of the project
c a pure rate of interest reflecting the productive capability of capital assets
d all of the above.
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