Which one is the best tool of capital budgeting and why

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Reference no: EM133180419

Question - Following information is given to you.

Year

0

1


3

4

5

6

Cash flow (A)

1000

50


60

70

50

30

Cash Flow (B)

1000

50


50

50

50

50

Which project is better? Why? (Based on PBP, NPV, IRR).

Which one is the best tool of capital budgeting and why?

Should we consider only quantitative result and it is enough and why?

Reference no: EM133180419

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