Which of the following would NOT require taking into account the time value of money?
A) Deciding to make a long-term investment in a project on the basis of its payback period.
B) Selecting an investment project on the basis that it has a positive net present value (NPV) .
C) Calculating the present value of a five-year annuity.
D) Taking a long-term investment decision on the basis of the project's internal rate of return (IRR) .
Correct Answer:
Verified
Q9: A company is considering investing $57,000 in
Q10: A new product requires an investment of
Q11: Every month for the last three years,
Q12: A company operates an integrated standard cost
Q13: A company uses standard absorption costing. Budgeted
Q15: The year-to-date results at the end of
Q16: Assume that a unit of output is
Q17: A company's management accountant wishes to calculate
Q18: The following is an extract from a
Q19: Which of the following is a valid
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents