Which are two investment decision rules?

Question

Quizplus · Accepted Answer

The present value rule and rate of return rule are two common investment decision rules. The present value rule states that an investment should be made if the present value of its expected cash flows is greater than the initial cost of the investment, while the rate of return rule states that an investment should be made if the expected rate of return is greater than the required rate of return. These rules help investors make informed decisions about which investments are likely to generate the greatest returns.

Which Are Two Investment Decision Rules