The Following Values Have Been Computed for Various Independent Projects

Multiple Choice

The following values have been computed for various independent projects which have a required payback period of 3 years, a required discount rate of 14.5 %, and a required accounting return of 11 %. Which one of these values indicates an accept decision?

A) Net present value of ($1,200) .
B) Accounting rate of return of 10 %.
C) Profitability index of 1.02.
D) Internal rate of return of 13.6 %.
E) Payback period of 3.2 years.