Which of the Following Is True While Making a Capital

question 60

Multiple Choice

Which of the following is true while making a capital investment decision?

• A) A manager should assess the risk of the project.
• B) A manager should ignore the timing of the cash flows.
• C) A manager should compute the competitor's return on investment.
• D) A manager should ensure that the project cost is equal to the cash flow from investment.
• E) All of these.

---

Definitions:

Verification

The act of confirming the authenticity, correctness, or legitimacy of something.

Nominal Group Method

A structured form of group decision-making where individual members anonymously write down their ideas, which are then discussed and ranked to make a decision.

Hitchhike

The act of traveling by getting free rides in passing vehicles, often seen as an adventurous and economical way of traveling.

Phrases

A collection of words that express a concept or part of a sentence.