Planning Controls Are Used to

question 2

Multiple Choice

Planning controls are used to

• A) Ensure that all houses on a new development look different
• B) Ensure that all houses on a new development look similar
• C) Ensure that all new houses use low carbon technology
• D) Ensure that all new houses fit in with their surrounding environment
• E) Ensure that all new houses consume less water

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Definitions:

Internal Rate of Return (IRR)

The discount rate that makes the net present value (NPV) of all cash flows from a particular project equal to zero, used in capital budgeting to estimate the profitability of potential investments.

Payback Method

An investment appraisal technique that calculates the time needed for an investment to generate cash flows sufficient to recover the initial cost.

Weighted Average Cost of Capital (WACC)

A calculation of a company's cost of capital in which each category of capital (debt, equity) is proportionally weighted.

Internal Rate of Return (IRR)

IRR is a financial metric used to estimate the profitability of investments, calculated as the rate of return that sets the net present value of all cash flows from a particular project to zero.