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(Solved): 8) Like the Payback Period method, Average Accounting Return method uses an arbitrary benchmark cut ...




8) Like the Payback Period method, Average Accounting Return method uses an arbitrary benchmark cutoff. (10points)
a. True b.
8) Like the Payback Period method, Average Accounting Return method uses an arbitrary benchmark cutoff. (10points) a. True b. False 9) When we estimate relevant cashflow for capital budgeting, we include the cost for a market survey conducted before the project is launched. (10points) a. True b. False 10) When we can recognize a larger portion of depreciation in the early period, we will have a higher NPV than when we use the straight-line depreciation method. (10points) a. True b. False


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8] [a] TRUE Explanation: The payback uses an arbitrary cut off, which says that, a project's payback period should be less than
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