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f a company is in the situation of having unlimited capital funds, the best decision rule, considering only financial factors, is for the company to

f a company is in the situation of having unlimited capital funds, the best decision rule, considering only financial factors, is for the company to invest in all projects in which:

The payback period is short.

The accounting (book) rate of return (ARR) is greater than its current return on invested capital (ROI).

The net present value (NPV) is greater than the cost of capital.

The internal rate of return (IRR) is greater than zero.

The NPV is greater than zero.

Which one of the following is the estimated rate (i.e., percentage) that makes the discounted present value of future cash flows of a project equal to the initial investment outlay for the project?

Weighted-average cost of capital (WACC).

Payback period, in years.

Book (accounting) rate of return.

Internal rate of return (IRR).

Accounting rate of return (ARR), after tax.

For dealing with uncertainty in the capital budgeting process, all of the following techniques can be used except which one?

What-if analysis.

Monte Carlo simulation.

Scenario analysis.

Linear programming.

Real options analysis.

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