All of the Following Capital Budgeting Tools Are Suitable for Non-Normal

question 32

Multiple Choice

All of the following capital budgeting tools are suitable for non-normal cash flows EXCEPT

• A) MIRR.
• B) profitability index.
• C) discounted payback.
• D) NPV.

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Definitions:

Performance Improvement

Efforts or strategies aimed at increasing the effectiveness, efficiency, or output of an organization or individual.

Giving Advice

The act of offering recommendations or guidance to someone else based on knowledge, experience, or expertise.

Goal Theory

A framework that emphasizes the importance of setting, pursuing, and achieving goals as a primary source of motivation and performance improvement.

Sales Revenue

The income generated from the sale of goods or services before any costs or expenses are deducted.