Which Method of Evaluating Capital Investment Proposals Uses Present Value

question 93

Multiple Choice

Which method of evaluating capital investment proposals uses present value concepts to compute the rate of return from the net cash flows?

• A) internal rate of return method
• B) cash payback method
• C) net present value method
• D) average rate of return method

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Definitions:

Freedom Ride

was a series of bus trips through the American South in 1961 to protest segregated bus terminals and challenge the non-enforcement of United States Supreme Court decisions which ruled segregated public buses unconstitutional.

Interstate Bus Travel

The system and services of buses that travel between states, offering long-distance transportation options across the country.

Civil Rights Act

Landmark legislation passed in the United States (1964) aimed at ending discrimination based on race, color, religion, sex, or national origin.

Segregation

The enforced separation of different racial or socio-economic groups, within the same community or society, often highlighted by segregated living spaces, schooling, and public facilities.