When Several Alternative Investment Proposals of the Same Amount Are

question 91

Multiple Choice

When several alternative investment proposals of the same amount are being considered, the one with the largest net present value is the most desirable.If the alternative proposals involve different amounts of investment, it is useful to prepare a relative ranking of the proposals by using a(n) :

• A) average rate of return.
• B) cash payback period.
• C) present value index.
• D) price-level index.

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Definitions:

Agreeableness

A personality trait that reflects a person's tendency towards kindness, empathy, and cooperation versus antagonism.

Personality Inventory

A questionnaire or assessment tool used to evaluate and measure various aspects of an individual's personality traits and characteristics.

DSM-5

The Diagnostic and Statistical Manual of Mental Disorders, Fifth Edition, a handbook used by healthcare professionals as the authoritative guide to the diagnosis of mental disorders.

Big Five Traits

Refers to the five main facets of human personality, including openness to experience, conscientiousness, extraversion, agreeableness, and emotional stability.