Discuss the independent projects

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Question: Define each of the following terms:

a. Capital budgeting; regular payback period; discounted payback period

b. Independent projects; mutually exclusive projects

c. DCF techniques; net present value (NPV) method; internal rate of return (IRR) method

d. Modified internal rate of return (MIRR) method; profitability index

e. NPV profile; crossover rate

f. Nonnormal cash flow projects; normal cash flow projects; multiple IRRs

g. Hurdle rate; reinvestment rate assumption; post-audit

h. Replacement chain; economic life; capital rationing.

Reference no: EM131525118

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