To judge the comparative risk of projects having same cost and different NPV which method is used

Related MCQs

• To judge the comparative risk of projects having same cost and same NPV which method is used
• Two mutually exclusive investment proposals have "scale differences" (i.e., the cost of the projects differ). Ranking these projects on the basis of IRR, NPV, and PI methods give contradictory results.
• In case of divisible projects, which of the following can be used to attain maximum NPV?
• In mutually exclusive projects, projects which are selected for comparison must have
• Under NPV method, cash flows are assured to be reinvested at
• Which of the following forms of equity financing is especially designed for funding High Risk & High Reward projects?
• 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?
• Present value of inflows Rs. 10 lakhs from a project and initial investment is Rs. 7.5 lakhs. The NPV is:
• A single, overall cost of capital is often used to evaluate projects because:
• Which element of the basic NPV equation is adjusted by the RADR?