Which of the Following Is Not a Time-Adjusted Method for Ranking

question 74

Multiple Choice

Which of the following is not a time-adjusted method for ranking investment proposals?

• A) Net present value method
• B) Payback method
• C) Internal rate of return method
• D) Modified internal rate of return

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Definitions:

Plant Asset

Assets that are tangible, long-lived, and used in the production or sale of goods and services, such as buildings and machinery.

Computer Specifications

Detailed information about the hardware and software components of a computer system, including processor speed, memory size, and storage capacity.

Capitalized

Recording an expenditure as an asset on the balance sheet, rather than an expense on the income statement, to spread its cost over its useful life.

Capital Expenditures

Money allocated by a business to purchase or improve tangible assets like land, factories, or machinery.