Which method is designed to give the dollar amount of return for every $1.00 invested in the project in terms of current dollars?
A) Profitability Index Method
B) Internal Rate of Return Method
C) Net Present Value Method
D) Discounted Payback Period Method
Answer: A
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All of the following statements regarding the gross profit ratio are true except:
a. Managers, investors, and creditors use the gross profit ratio to measure one aspect of profitability. b. The gross profit ratio alone is sufficient to determine a company's profitability. c. If a company's net sales were $200,000 and cost of goods sold were $120,000, its gross profit ratio would be 40%. d. The gross profit ratio explains how many cents on every dollar are available to cover expenses other than cost of goods sold and to earn a profit.
An understatement of year 1's ending inventory will
A) cause year 2's cost of goods sold to be overstated. B) result in an understatement of year 2's beginning inventory. C) not affect year 2's ending owner's equity. D) have no effect on year 2's gross margin.
Regardless of how important planning a public relations campaign is, the public relations function is assessed primarily in terms of actions, performance, and practice
Indicate whether the statement is true or false
Purchase discounts are the same as trade discounts.
Answer the following statement true (T) or false (F)