The net present value always provides the correct decision provided that: - 3151

Solution Posted by
Solution Detail
Price: $1.25
  • From: ,
  • Posted on: Thu 22 Mar, 2012
  • Request id: None
  • Purchased: 0 time(s)
  • Average Rating: No rating
Request Description

The net present value always provides the correct decision provided that:
a. cash flows are constant over the asset's life.
b. the required rate of return is greater than the internal rate of return.
c. capital rationing is not imposed.
d. the internal rate of return is positive.

Solution Description

The net present value always provides the correct decision provided that: