Which method for evaluating capital investment proposals reduces the expected future net cash flows originating from the proposals to their present values and computes a net present value?

A) Net present value
B) Average rate of return
C) Internal rate of return
D) Cash payback


A

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A company using the perpetual inventory system paid $250 cash to have goods delivered from one of its suppliers. How would the payment of $250 for transportation-in be classified?

A. An asset source transaction B. A claims exchange transaction C. An asset use transaction D. An asset exchange transaction

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Blake racked up three safety violations in one month and was taken off the construction crew and put in the office, meaning he was no longer eligible for overtime. He pled with his boss, saying he needed the money for rent. Citing that Blake's financial situation was not a concern of the company, he was put in the office until he could demonstrate that safety was a priority. This illustrates

A. extinction. B. equity theory. C. growth need strength. D. punishment. E. negative reinforcement.

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Undue influence can serve to set aside a conveyance by deed

Indicate whether the statement is true or false

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On July 25, 2017, Marilyn gives stock with a FMV of $7,500 and a basis of $5,000 to her nephew Darryl. Marilyn had purchased the stock on March 18, 2017. Darryl sold the stock on April 18, 2018 for $7,800. As a result of the sale, what will Darryl report on his 2018 tax return?

A. $2,800 LTCG B. $2,800 STCG C. $300 STCG D. $300 LTCG

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