On the Basis of the Above Data,which of the Following

question 34

Multiple Choice

On the basis of the above data,which of the following is false?

• A)Proposal A should be considered unacceptable.
• B)Proposal C is the best alternative because it has the shortest payback period,which is the most meaningful of the capital budgeting statistics.
• C)Proposal A's negative net present value indicates that this alternative will not generate management's required rate of return.
• D)Although proposals B and C are each acceptable,proposal B is a better investment considering the time value of money.

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Definitions:

Rationale

The underlying reason or logical basis for a decision, action, or belief.

Immediate Response

A prompt or quick reaction to a request, question, or action, often expected in real-time communications.

Manager

An individual responsible for controlling or administering all or part of a company or similar organization, overseeing and guiding the work of others.

Email

A method of exchanging digital messages over the Internet, using specific protocols between sender and receiver.