Which of the following capital budgeting methods states the return of a project as a percentage?

a) Payback Methods

b) Net Present Value

c) Internal Rate of Return

d) None of the above

A company is considering two projects, Project A and Project B. If Project A is a riskier project , and we are using the Net Present Value Method::

a) We will use a higher discount rate for Project A

b) We will use a higher discount rate for Project B

c) We will use the same discount rate for both projects

d) We will select the project that returns our investment dollars back in the shortest time frame