When the cost of the project differ significantly which method of capital budgeting is used

Related MCQs

• Which of the following is not a relevant cost in Capital Budgeting?
• In capital budgeting, the term Capital Rationing implies:
• “Capital budgeting is long term planning for making and financing proposed capital outlays”. Who said?
• In Capital Budgeting, Sunk cost is excluded because it is:
• Savings in respect of a cost is treated in capital budgeting as:
• Which of the following is not a disadvantage of rate of return method of capital budgeting?
• Which is the traditional method of capital budgeting
• Which is the time adjusting method of capital budgeting
• A company should arrange the capital structure in such a way that there is maximum flexibility in the capital and cost of capital is
• The net cash flows of the project and their present values are as follows Year 1 2 3 4 Net cash flow (Rs) 5100 5100 5100 7100 PVIF @12% 0.893 0.797 0.712 0.636 Present Value (Rs) 4554 4065 3631 4516 The initial investment in the project is Rs12500, What is the NPV of the project?