Q122
Capital budgeting method to analyze information of financials include
A.
internal rate of return
B.
accrual accounting rate of return
C.
net present value
D.
all of above
AnswerAnswer: Option D
Solution
Answer: Option D
Solution:
Capital budgeting method to analyze information of financials include internal rate of return, accrual accounting rate of return and net present value. The process involves analyzing a project's cash inflows and outflows to determine whether the expected return meets a set benchmark. The major methods of capital budgeting include throughput, discounted cash flow, and payback analyses.