Which capital budgeting method uses accrual accounting, rather than net cash flows, as a basis for calculations Select one O A net present value B payback C accounting rate of return O D internal rate of return O E None of the above Nixon Company is considering purchasing new equipment that costs $720,000 Its management estimates that the equipment will generate cash flows as follows Year 1 $218,000 2 218,000 3 258,000 4 258,000 5 150,000 The company's annual required rate of return is 9 Calculate the present value of the cash inflows (Round all calculations to the nearest whole dollar ) Select one O A $57,000 0 B $662,973 O C $885,326 0 D $1,000,000 E $1,102,000 0 F None of the above

Question

Which capital budgeting method uses accrual accounting, rather than net cash flows, as a basis for calculations  Select one  O A  net present value B  payback C  accounting rate of return O D  internal rate of return O E  None of the above Nixon Company is considering purchasing new equipment that costs $720,000  Its management estimates that the equipment will generate cash flows as follows  Year 1 $218,000 2 218,000 3 258,000 4 258,000 5 150,000 The company's annual required rate of return is 9   Calculate the present value of the cash inflows  (Round all calculations to the nearest whole dollar ) Select one  O A  $57,000 0 B  $662,973 O C  $885,326 0 D  $1,000,000 E  $1,102,000 0 F  None of the above

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Which capital budgeting method uses accrual accounting, rather than net cash flows, as a basis for calculations? Select one: O A. net present value B.

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