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An Investment Decision Can Also Be Assessed on the Basis

Question 34

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An investment decision can also be assessed on the basis of the Triple Bottom Line accounting. In this methodology managers


A) Assess a project on the basis of what is referred to as People, Plant and Profit impact
B) Are responsible for accounting results, cash flow performance and balance sheet impact
C) Assess a project on the basis of its impact on future profits, present profits and any restatement of past performance that may need to be undertaken
D) Are required to focus on the impact the use of capital will have on leverage, revenue and cash flow
E) Determine the profit potential utilizing zero cost of capital, weighted average cost of capital and real cost of capital

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