Multiple Choice
Which capital investment evaluation technique is described by the following characteristics? (1) Easy to understand; (2) Biased towards liquidity; (3) Requires an arbitrary cutoff point; (4) Ignores the time value of money.
A) NPV
B) IRR
C) Profitability index
D) Payback period
E) Discounted payback
Correct Answer:
Verified
Correct Answer:
Verified
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