Question: True or False Net present value method automatically takes into account recovery of the initial investment If the residual value of equipment at the end
True or False
- Net present value method automatically takes into account recovery of the initial investment
- If the residual value of equipment at the end of a project is difficult to estimate, the residual value should be ignored in capital budgeting decisions
- The hurdle rate is the discount rate that makes the npv of the project equal to zero
- The hurdle rate is the discount rate that makes the npv of the project equal to zero
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