When using an NPV model,we assume predicted cash flows are certain to occur at the times specified.

Name: When using an NPV model,we assume predicted cash flows are certain to occur at the times specified.
Brand: Quizplus
Rating: 4.8 (35 reviews)

Question

Quizplus · Accepted Answer

In an NPV model, predicted cash flows are assumed to occur at the times specified because the model uses a constant discount rate to calculate the present value of future cash flows. This assumes that the cash flows are certain to occur at the times specified.

When Using an NPV Model,we Assume Predicted Cash Flows Are