Author Question: In capital budgeting, risk is generally thought of as the chance that NPV and IRR will provide ... (Read 59 times)

saraeharris

  • Hero Member
  • *****
  • Posts: 546
In capital budgeting, risk is generally thought of as the chance that NPV and IRR will provide conflicting recommendations to management.
 
  Indicate whether the statement is true or false

Question 2

In capital budgeting, risk is the degree of variability of cash flows.
 
  Indicate whether the statement is true or false



mathjasmine

  • Sr. Member
  • ****
  • Posts: 312
Answer to Question 1

FALSE

Answer to Question 2

TRUE



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

There can actually be a 25-hour time difference between certain locations in the world. The International Date Line passes between the islands of Samoa and American Samoa. It is not a straight line, but "zig-zags" around various island chains. Therefore, Samoa and nearby islands have one date, while American Samoa and nearby islands are one day behind. Daylight saving time is used in some islands, but not in others—further shifting the hours out of sync with natural time.

Did you know?

Hip fractures are the most serious consequences of osteoporosis. The incidence of hip fractures increases with each decade among patients in their 60s to patients in their 90s for both women and men of all populations. Men and women older than 80 years of age show the highest incidence of hip fractures.

Did you know?

Recent studies have shown that the number of medication errors increases in relation to the number of orders that are verified per pharmacist, per work shift.

Did you know?

Human neurons are so small that they require a microscope in order to be seen. However, some neurons can be up to 3 feet long, such as those that extend from the spinal cord to the toes.

Did you know?

Certain rare plants containing cyanide include apricot pits and a type of potato called cassava. Fortunately, only chronic or massive ingestion of any of these plants can lead to serious poisoning.

For a complete list of videos, visit our video library