The Technique Used to Consider a Range of Possibilities in Capital

question 101

Multiple Choice

The technique used to consider a range of possibilities in capital budgeting decisions is called:

• A) Discounted cash flow
• B) Net present value
• C) Sensitivity analysis
• D) Ranking

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Definitions:

Insider Trade

Buying or selling a security by someone who has access to material, nonpublic information about the security.

Mining Exploration

The process of searching for minerals or precious metals in the ground through geological research and physical exploration methods.

Gold Find

The discovery of gold, typically in significant quantities, which often prompts mining activities and economic interest in the area.

Dramatic Departure

A significant and often sudden change or shift from conventional behavior or previous patterns.