The Net Present Value Method of Capital Budgeting Is Preferred

question 33

Multiple Choice

The net present value method of capital budgeting is preferred over the internal rate-of-return method because ________.

• A) the net present value method is expressed as a percentage of initial investment
• B) the net present values of individual projects can be added to determine the effects of accepting a combination of projects
• C) the percentage return computed under the net present value method is very easy to compare
• D) the calculation under the net present value method is easy as it does not use time value of money

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Definitions:

Feminist Theories

A collection of ideas and perspectives aimed at understanding and challenging the inequalities that women face in society.

Socially Constructed

Concepts, categories, or practices that exist because individuals or groups in society agree to behave as if such constructs are real, often influenced by cultural, social, and historical contexts.

Gender Scripts

Socially constructed roles and behaviors that individuals are expected to follow based on their gender, influencing how they communicate, work, and interact.

Custodial Child-Care

Childcare that is provided by a parent or guardian with legal custody, often in the context of divorce or separation.