The ________ capital budgeting method uses accrual accounting income.

Question

Quizplus · Accepted Answer

The accounting rate of return is a capital budgeting method that uses accrual accounting income, which is the amount of income that has been earned but not yet received. This method calculates the rate of return based on the average net income of an investment over its useful life. It does not take into account the time value of money or the cash flows associated with the investment.

The ________ Capital Budgeting Method Uses Accrual Accounting Income