1)Under the net-present-value method, if the cost of the asset is less than the present...
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Accounting
1)Under the net-present-value method, if the cost of the asset is less than the present value of the future cash flows, the:
| investment's expected return is greater than the firm's cost of capital |
| firm's cost of capital is greater than the rate of return on assets |
| net-present-value is negative |
| investment should not be made |
2) A capital investment generates a satisfactory rate of return when its return is:
| Greater than the internal rate of return |
| Less than the cost of capital |
| Greater than or equal to the cost of capital |
| Equal to or less than the cost of capital |
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