31. | The process of making long term decisions, for capital investment in the projects is called |
a. | lead budgeting |
b. | lean budgeting |
c. | capital budgeting |
d. | relevant budgeting |
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Answer: (c).capital budgeting
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32. | The dimensional analysis of cost includes |
a. | horizontally across dimension |
b. | horizontally upward dimension |
c. | vertically upward dimension |
d. | both a and c |
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Answer: (d).both a and c
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33. | The capital budgeting method to analyze information of financials include |
a. | internal rate of return |
b. | accrual accounting rate of return |
c. | net present value |
d. | all of above |
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Answer: (d).all of above
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34. | The payback period is multiplied for constant increase in yearly future cash flows to calculate |
a. | cash value of money |
b. | net initial investment |
c. | net future value |
d. | time value of money |
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Answer: (b).net initial investment
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35. | The rate of return, which is made up of risk free and business risk element is known as |
a. | nominal rate of return |
b. | accrual accounting rate of return |
c. | real rate of return |
d. | required rate of return |
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Answer: (c).real rate of return
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