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Commerce · Q284

Business Finance

Graduate and Post Graduate · Commerce · question 284

Q284

Statement-I: In the payback period method, the risk of the project is adjusted by lessening the target payback period. Statement-II: Sensitivity analysis helps in the calculation of the net present value of the proposal.

A.
Statement-I is correct, but statement-II isincorrect
Answer
B.
Statement-I is incorrect, but statement-II is correct
C.
Statement-I and statement-II are correct
D.
Statement-I and statement-II are incorrect

Answer: Option A

Solution

Answer: Option A
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