Discussion Question 1:

What are the pros and cons of the decision rules for the NPV, the IRR, the MIRR, and the payback methods? Which is the most accurate method and why? Justify your answer.

Discussion Question 2:

What are sunk costs? Should they be included in the cash flow estimation when making a capital budgeting decision? Why or why not?

Start reviewing and responding to at least two of your classmates' postings as early in the week as possible. Participate in the discussion by asking a question, providing a statement of clarification, providing a point of view with a rationale, challenging an aspect of the discussion, or indicating a relationship between one or more lines of reasoning in the discussion.