____ is not a method of incorporating an adjustment for risk into the capital budgeting analysis.

Question

Quizplus · Accepted Answer

Discriminant analysis is a statistical tool used to predict the likelihood of an event occurring, such as whether a company will go bankrupt. It is not a method of incorporating an adjustment for risk into the capital budgeting analysis. The other options, including risk-adjusted discount rate, sensitivity analysis, and simulation, are all methods commonly used to incorporate risk into capital budgeting analysis.

____ Is Not a Method of Incorporating an Adjustment for Risk