Which of the Following Investment Decision Rules Tends to Improperly

question 31

Multiple Choice

Which of the following investment decision rules tends to improperly reject long-lived projects?

• A) Net present value
• B) Internal rate of return
• C) Payback period
• D) Profitability index

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Definitions:

Blepharitis

An inflammation of the eyelid margins, often causing redness, irritation, and itchy eyelids together with dandruff-like scales on the eyelashes.

Lacrimal

Pertaining to the glands and ducts that produce and drain tears.

Cortex

The outer layer of various organs and structures, such as the brain, adrenal glands, and hair, involved in diverse functions.

Isthmus

A narrow strip of land connecting two larger bodies of land, or a narrow organ or structure connecting two larger parts.