Chapter 8 discussed the following investment criteria: net present value, payback, profitability index, average accounting return, and...

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Chapter 8 discussed the following investment criteria: netpresent value, payback, profitability index, average accountingreturn, and the internal rate of return. Which one of these is themost valuable from a financial point of view and why?

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1Net present value this method helps to know the future value of the investment in near future keeping in mind the discounting factor The difference between the present value of inflow and the present value of outflow is the    See Answer
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Chapter 8 discussed the following investment criteria: netpresent value, payback, profitability index, average accountingreturn, and the internal rate of return. Which one of these is themost valuable from a financial point of view and why?

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