Which of the following statements is CORRECT?

A. The discounted payback method eliminates all of the problems associated with the payback method.
B. When evaluating independent projects, the NPV and IRR methods often yield conflicting results regarding a project's acceptability.
C. To find the MIRR, we discount the TV at the IRR.
D. A project's NPV profile must intersect the X-axis at the project's cost of capital.
E. The IRR method appeals to some managers because it gives an estimate of the rate of return on projects rather than a dollar amount, which the NPV method provides.


Answer: E

Business

You might also like to view...

Highly centralized management and strict operating procedures for each phase of business characterize _____

a. mass merchandising b. rationalized retailing c. positioned retailing d. risk-minimization retailing

Business

Americans most commonly use their smartphones for _________

A) making phone calls B) writing memos C) sending and receiving text messages D) ?proofreading business messages

Business

In Smitley v. NLRB, after the NLRB dismissed a complaint that the union had violated Section 8(b)(7)(C) of the National Labor Relation Act, the company sought judicial review of the Board's decision. The court of appeals held that Section 8(b)(7 ) did not intend to prohibit all picketing having the named "object" of:? A) ?consumer picketing

B) recognitional or organizational picketing.? C) labor picketing.? D) product picketing.

Business

Ronald, the purchasing manager of Telly's Supermarket in Georgia, was asked to purchase the latest video game console, FunCase, to be kept in the supermarket. Due to a truckers' strike, Ronald had to personally make the trip to the FunCase warehouse in Florida to pick up the console. Ronald paid for the trip himself, went to the warehouse, procured the console, and returned. After he got back, Telly's Supermarket paid Ronald for the personal expenses he incurred in making the trip to Florida. What duty of the principal did Telly's Supermarket satisfy when it paid Ronald for the trip?

A. duty to cooperate B. duty to reimburse C. duty to compensate D. duty to indemnify

Business