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The Method That Calculates the Ratio of the Present Value

Question 54

Multiple Choice

The method that calculates the ratio of the present value of the positive cash flows of a project to the absolute value of the present value of the negative cash flows is called the: Awkwardly worded.#98 is phrased more clearly.


A) internal rate of return
B) profitability index
C) net present value
D) payback period

Correct Answer:

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