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Tha folowing are all quantative capital budgeting techniques axcept a. arinual rate of retum technique. d. cash payback technique. 7A company's cost of capital refers

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Tha folowing are all quantative capital budgeting techniques axcept a. arinual rate of retum technique. d. cash payback technique. 7A company's cost of capital refers to the a. rate management expects to pay on all borrowed and equity funds. b. total cost of a capital project. cost of printing and registering common stock shares. rate of return eamed on total assets. c. 8% How is annual cash inflow dotermined? Depreciation is subtracted from net Incomebasause it is an expense. b Degreclation is addod back to net income because it is not an outflow of cash. o. Depreciation is subtracted from net incoina because it is an outflow ot cash. d. Depreclation is added back to net incosme because it is an inflow of cash. o i an esset cost $210,000 and le expescted to have a $30,000 salvage value at the end ret cash inflows, ot $30,000 each year, the ca ten-year life, and generates ann payback perlod is a. 8 years. b. 7years, c. 8 years d. 5 years. the payhick period tira project is greater than its sconoia lfe, the aject will always be profitable. s andre initial Inveetment will never be recovered. o paoject would only be acceptable if the companys cost of capital was low. d. project's roturm will always exceed the company's cost of capital

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