All of the Following Capital Budgeting Tools Are Suitable for Non-Normal

question 30

Multiple Choice

All of the following capital budgeting tools are suitable for non-normal cash flows EXCEPT

• A) MIRR.
• B) profitability index.
• C) IRR.
• D) NPV.

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Definitions:

Artisan

A skilled craftsperson who makes or creates things by hand that may be functional or strictly decorative.

Lien

A legal right or claim against a property, typically used as security for a debt or charge that must be paid off when the property is sold.

Innkeeper

An innkeeper is a person or the owner of an establishment that offers lodging, and sometimes meals and entertainment, to travelers.

Repairs

The process of fixing or restoring something that is damaged, broken, or worn out to bring it back to its original condition.