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Author Question: On a purely theoretical basis, NPV is the better approach to capital budgeting than IRR because NPV ... (Read 131 times)

mspears3

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on: Jul 10, 2018
On a purely theoretical basis, NPV is the better approach to capital budgeting than IRR because NPV implicitly assumes that any intermediate cash inflows generated by an investment are reinvested at the firm's cost of capital.
 
  Indicate whether the statement is true or false

Question 2

Which of the following is an example of noncash charges?
 
  A) depreciation
  B) accruals
  C) interest expense
  D) dividends paid


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verrinzo

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Reply #1 on: Jul 10, 2018
Answer to Question 1

TRUE

Answer to Question 2

A


mspears3

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Reply 2 on: Jul 10, 2018
Great answer, keep it coming :)

LVPMS

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Reply 3 on: Yesterday
YES! Correct, THANKS for helping me on my review

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