Perkins Corporation is considering several investment proposals, as shown below: Investment Proposal ABCDInvestment required$80,000 $100,000 $60,000 $75,000 Present value of future net cash flows$96,000 $150,000 $84,000 $120,000 If the project profitability index is used, the ranking of the projects from most to least profitable would be:
A. B, D, C, A
B. A, C, B, D
C. B, D, A, C
D. D, B, C, A
Answer: D
You might also like to view...
A change in the _________________________ or _________________________ will not change a preset series of cash flows, however it will change the present value of those cash flows
Fill in the blank(s) with correct word
Unsought goods are characterized as being the kinds of goods that consumers ________.
A. frequently purchase and have little interest in seeking new information about B. purchase solely for personal purposes C. would rather not purchase at all D. purchase solely for business purposes E. do more research on and compare across product dimensions such as color, size, features, and price
Haley Inc had the following information related to last year's purchases: Cost of goods purchased $85,000 Accounts payable - beginning 3,000 Accounts payable - ending 5,000 What amount would be reported as "cash outflows for purchases" on the statement of cash flows using the direct method?
A) $93,000 B) $87,000 C) $77,000 D) $83,000
Select the correct statement regarding managerial and financial accounting.
A. Both managerial and financial accounting use economic and physical data in addition to financial data. B. Financial accounting is more highly regulated than managerial accounting. C. Timeliness is more important in financial accounting than in managerial accounting. D. Users of managerial accounting information desire greater aggregation than do users of financial accounting information.