Question
The payback rule states that you invest in projects with paybacks less than 3 years. True False What is the NPV of a project with
-
The payback rule states that you invest in projects with paybacks less than 3 years.
True
False
-
What is the NPV of a project with the following cash flows and a 19% discount rate: Year 0: -10, Year 1: 2, Year 2: 3, and Year 3: 7?
-3
-2
-1
1
The payback rule states that you invest in projects with paybacks less than 3 years.
True
False
What is the NPV of a project with the following cash flows and a 19% discount rate: Year 0: -10, Year 1: 2, Year 2: 3, and Year 3: 7?
| -3 | ||
| -2 | ||
| -1 | ||
| 1 |
3.
-
Should you invest in the above project based on its NPV?
Yes
No
Insufficient data
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Accounting Volume 2
Authors: James Reeve, Jonathan Duchac, Sheila Elworthy, Carl S. Warren
2nd Canadian edition
176501452, 978-0176501457, 978-0176509743
