Question

What does financial feasibility study involve?

a.

Analysis of NPV and IRR

b.

Appraisal and analysis of isolated projects

c.

Determining market demand and price

d.

Evaluating social infrastructure

Posted under IC 89 Management Accounting

Answer: (a).Analysis of NPV and IRR Explanation:Financial feasibility study in Capital Budgeting involves detailed financial analysis, including analysis of NPV (Net Present Value) and IRR (Internal Rate of Return), among other considerations.

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