Restating Future Cash Flows in Terms of Present Values and Then

question 110

Multiple Choice

Restating future cash flows in terms of present values and then determining the payback period using these present values is known as:

• A)Break-even time (BET)
• B)Internal rate of return method.
• C)Accounting rate of return method.
• D)Net present value method.
• E)Present value method.

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Definitions:

Axis

The second cervical vertebra (C2) of the spine, which allows the head to rotate.

Paranasal Sinuses

Air-filled spaces located around the nasal cavity that lighten the skull and modulate the voice.

Ethmoid

A sponge-like bone located at the roof of the nose and forming part of the nasal septum and the nasal cavities' walls.

Maxillary

Pertaining to the maxilla, the upper jawbone in vertebrates, which forms part of the structure of the mouth and face.