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The Annual Worth Method Is

Question 12

Multiple Choice

The annual worth method is


A) similar to the present worth method but transforms all annuities to a uniform series at the minimum acceptable rate of return.
B) similar to the present worth method but transform all annuities to arithmetic gradient series at the minimum acceptable rate of return.
C) methodologically different from the present worth method since it does not convert all annuities to the present worth at the minimum acceptable rate of return.
D) similar to the present worth method since it transforms all annuities to the present worth as a single payment.
E) similar to the present worth method except that all payments are converted into a geometric gradient series.

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