Which one of the following methods of project analysis is defined as computing the value of a project based upon the present value of the project's anticipated cash flows?
A)constant dividend growth model
B)discounted cash flow valuation
C)average accounting return
D)expected earnings model
E)internal rate of return

Question

Quizplus · Accepted Answer

Discounted cash flow valuation involves calculating the present value of expected future cash flows of a project, which is then used to determine the overall value of the project. The other methods listed do not involve the present value of cash flows and are not relevant to project analysis.

Which One of the Following Methods of Project Analysis Is