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
You might also like to view...
Discuss the question of whether or not incentives improve performance and some options available for incentivizing employees other than knowledge workers.
What will be an ideal response?
Sales of some technical products and services typically take many months, perhaps even years, to complete
Indicate whether the statement is true or false a. True b. False
Many job seekers today use social networking sites like Facebook and LinkedIn to network and to find positions
Indicate whether the statement is true or false
Which area(s) of a business can be improved by using a just-in-time (JIT) system?
A. Production and purchasing only. B. Production only. C. Purchasing only. D. Production, purchasing, and delivery.