The five basic principles of finance include all of the following EXCEPT
A) Cash flow is what matters.
B) Money has a time value.
C) Risk requires a reward.
D) Incremental profits determine value.

Question

Quizplus · Accepted Answer

The four basic principles of finance are cash flow is what matters, money has a time value, risk requires a reward, and value is determined by incremental profits. Therefore, D is the only option that is not part of the five basic principles of finance.

The Five Basic Principles of Finance Include All of the Following