Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

What is one key advantage of the net present value (NPV) technique over the internal rate of return (IRR) technique? a.NPV works even if project

What is one key advantage of the net present value (NPV) technique over the internal rate of return (IRR) technique?

a.NPV works even if project cash flows are unconventional.

b.NPV takes into consideration the time value of money.

c.NPV is far easier to interpret.

d.NPV takes into consideration the risk profile of a project.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Managerial Decision Modeling With Spreadsheets

Authors: Nagraj Balakrishnan, Barry Render, Jr. Ralph M. Stair

3rd Edition

9780136115830

Students also viewed these Finance questions