The Home Currency Approach

The home currency approach

A) requires an applicable exchange rate for every time period for which there is a cash flow.
B) stresses the use of the real rate of return to compute the net present value (NPV) of a project.
C) uses the current risk-free nominal rate to discount all of the cash flows related to a project.
D) generally produces more reliable results than those found using the foreign currency approach.
E) provides a net project value in both the home and the foreign currency.