Using internal rate of return for assessing project

Assignment Help Operation Management
Reference no: EM131114852

Which of the following is a disadvantage of using internal rate of return for assessing a project?

It fails to take into account the time value of money and risk.

It cannot be calculated by trial and error.

It discriminates heavily against long term and risky projects

It fails to provide concrete financial estimates.

Reference no: EM131114852

Questions Cloud

What would be your preferred top three countries : How interested are you personally in working in a different country? What would be your preferred top three countries? What countries would be of least interest to you? For the three countries you prefer, what were your reasons for choosing them? Wha..
What is the real gdp : Suppose you are given the following data: What is the real GDP for 2013?
How does the merger affect the industry : Describe the merger. Explain who bought who? What price was paid? What happened to the stock prices of each company? Describe the industry they are in. How does the merger affect the industry?
Calculate the new rotor current frequency : Calculate the new rotor current frequency.
Using internal rate of return for assessing project : Which of the following is a disadvantage of using internal rate of return for assessing a project?
Bank change customer on loan : Suppose that a Bank wishes to realize a real interest rate of 3 percent given on a loan. It expects that inflation over the course of the year will be 4 percent. Then, what nominal interest rate should the bank change this customer on his loan?
When the government pays to build highways : When the government pays to build highways, they affect G (government purchases) by increasing spending. This in turn increases C (consumption) as consumers are paid and able to have more discretionary income.
Discuss the approximate effect on the characteristic : Only the applied voltage is halved, but the frequency is at its normal value.
What is the firm cost of equity : The firm's stock is currently selling for $39 a share and has a dividend yield of 3.8 percent. What is the firm's cost of equity?

Reviews

Write a Review

Operation Management Questions & Answers

  Book review - the goal

Operations Management is about a book review. Title of the book is "Goal". This book has been written by Dr. Eliyahu Goldartt. The book has been appreciated by many as one of those books which offers an insight into the operations and strategic capac..

  Operational plan in hospitality enterprise

Operational plan pertaining to a hospitality enterprise is given in detail in the solution. The operational plan is an important plan or preparation which gives guidelines regarding the role and responsibilities of each and every operation at all lev..

  Managing operations and information

Recognise the importance of a strategic approach to the development and deployment of organisational information systems. Demonstrate an understanding of the importance of databases and their integration to the organisation's overall information mana..

  A make-or-buy analysis

An analysis of the holding costs, including the appropriate annual holding cost rate.

  Evolution and contributor of operations management

Briefly explain Evolution and contributor of Operations management.

  Functions and responsibilities of an operations manager

A number of drivers of change have transformed the roles, functions and responsibilities of an operations manager over recent years. These drivers have not only been based on technological innovations but also on the need for organisations to develop..

  Compute the optimal order quantity

Compute the Optimal Order quantity of DVD players. Determine the appropriate reorder point.

  Relationship to operations practice in the organisation

Evaluate problems in operations and identify approaches to overcoming them. Critically evaluate operating plans and identify areas for improvement. Justify, implement and evaluate changes to operations in line with modern approaches.

  A make or buy analysis

Develop a report for Figi Fabricating that will address the question of whether the company should continue to purchase the part from the supplier or begin to produce the part itself.

  Prepare a staffing plan

Prepare a staffing plan showing the change of your unit from medical/surgical staffing to oncology staffing.

  Leadership styles in different organizations

Ccompare the effectiveness of different leadership styles in different organizations

  Risk management tools and models

Be able to understand the concept of risk, roles and responsibilities for risk management and risk management tools and models.

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