A sophisticated capital budgeting technique that can be computed by solving for the discount rate that equates the present value of a project's inflows to the present value of its outflows is called net present value.

Question

Quizplus · Accepted Answer

The description provided refers to the Internal Rate of Return (IRR), not the Net Present Value (NPV). NPV is calculated by discounting the cash flows at a specific rate and then subtracting the initial investment.

A Sophisticated Capital Budgeting Technique That Can Be Computed by Solving