Is the best method of analyzing mutually exclusive projects

Assignment Help Finance Basics
Reference no: EM13290694

Net present value:

1. is the best method of analyzing mutually exclusive projects.

2. is less useful than the internal rate of return when comparing different sized projects.

3. is the easiest method of evaluation for non-financial managers to use.

4. is less useful than the profitability index when comparing mutually exclusive projects.

5. is very similar in its methodology to the average accounting return.

 

Reference no: EM13290694

Questions Cloud

What is file organization : What is file organization? what are file organization techniques.explain in detail? explain random file organization technique, multikey file organization technique?
Which of the following annual dividend patterns : 3M revises its dividends once per year, and the quarterly dividend is one-fourth of the annual dividend. Which of the following annual dividend patterns would you recommend?
Find the range of values of k for stability : The open - loop transfer function for a unity feedback system isG(s) = K / s4 +7 s3 +9s2 +4s. Find the range of values of K for stability of the close -loop system.
Explain the titration still work to use the endpoint : The endpoint of a titration is not exactly the same as an equivalence point. Why does the titration still work to use the endpoint
Is the best method of analyzing mutually exclusive projects : is the best method of analyzing mutually exclusive projects.
Explain and estimate the percentage of vinegar in the foods : Given that vinegar is 5% acetic acid by weight, estimate the percentage of vinegar in the foods. Assume that vinegar is 1.05 g/ml.
Why is payback often used as the sole method of analyzing : Why is payback often used as the sole method of analyzing a proposed small project?
What diameter will you choose for your wire : You've made the finals of the Science Olympics! As one of your tasks, you're given 1.9g of copper, What diameter will you choose for your wire
What does means that aliasing leads to an effective dc : The function f(t)=3cos(500πt) + 5cos(800πt) issampled digitally at a sampling rate of 400 Hz, starting attime t = 0.00025 s. (a)Calculate the frequencies that you would expect to see on afrequency spectrum of the sampled data.

Reviews

Write a Review

Finance Basics Questions & Answers

  Advantages and disadvantage of risk in investment

The concept of risk is based on uncertainty about future outcomes. Write down the advantages and disadvantage of risk in investment.

  Find stockholders equity

Review the corporations financial statements for pepsi and coke Examine how stockholders equity section of each corporation. What these 2 company's disclose about their stockholders equity section differs.

  What is the depreciation tax shield for project in year 5

The machine falls into the MACRS 5-year class life category. Assume a tax rate of 30% and a discount rate of 13%. What is the depreciation tax shield for this project in year 5?

  Define a swap

Define a swap, in the context of financial instruments. b) Describe the how the pricing of a swap will be done. c) Describe the risks faced by the parties involved in a swap.

  Prepare a monthly cash receipts schedule for the firm

Prepare a monthly cash receipts schedule for the firm for March through August.

  What is the stock expected total return of the coming year

If D0 = $2.00, g = 6% and P0 = $40, what is the stock's expected total return of the coming year?

  Computation of interest payable

Computation of interest payable and Prepare the issuer's journal entry to record the issuance of the bonds

  Discuss the advantages and disadvantages of financing

Discuss the advantages and disadvantages of financing capital expenditures through the use of internally generated cash. Cite cases where it is more effective and efficient to fund through internal funds and external funding source.

  What is the company days sales in receivables

A company has net income of $188,000, a profit margin of 10.00 percent, and an accounts receivable balance of $106,557. Assuming 77 percent of sales are on credit, what is the company's days' sales in receivables?

  What will be your balance at that time

You put $200,000 in the bank today; if the annual interest rate paid by the bank is 20.5%, and you do not make any withdrawals for 20 years, what will be your balance at that time? (for any credit, show your work)

  Determine tax bracket after-tax income

Mr. Smith is in the 30 percent tax bracket. He earns $50,000 per year. Determine the rate for Good Neighborcare bond that would give Mr. Smith the same after tax return as Megacorp bond?

  What are the payments for a 20 year traditional mortgage

What are the monthly payments for a 30 year traditional mortgage?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd