Question: There are four principal decision models for evaluating and selecting investment projects: - Net present value (NPV) - Profitability index (PI) - Internal rate of

There are four principal decision models for evaluating and selecting investment projects: - Net present value (NPV) - Profitability index (PI) - Internal rate of retum (IRR) - Payback period (PB) Which criteria assume that the project's net cash flows (NCFs) are reinvested at the firm's cost of capital? IRR and PI PI NPV, PI, and discounted PB NPV
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