Question
What is one advantage of NPV as a capital budget method? It is equally accurate whether cash flows are known or estimated. It accounts fully
What is one advantage of NPV as a capital budget method?
- It is equally accurate whether cash flows are known or estimated.
- It accounts fully for opportunity costs.
- Cash flows and the discount rate are easy to accurately determine.
- It is flexible, in the sense that the discount rate can be adjusted to account for factors like risk.
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Get StartedRecommended Textbook for
Personal Finance
Authors: Thomas Garman, Raymond Forgue
12th edition
9781305176409, 1133595839, 1305176405, 978-1133595830
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