Which of the following is not a reason for risk and uncertainty in capital budgeting? a. Decisions are based on expected cash flows b. All decisions are based on forecasts c. Decisions are based on past cash flows d. All forecasts are subject to uncertainty Clear my choice
Which of the following is not a reason for risk and uncertainty in capital budgeting? a. Decisions are based on expected cash flows b. All decisions are based on forecasts c. Decisions are based on past cash flows d. All forecasts are subject to uncertainty Clear my choice
Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Eugene F. Brigham, Phillip R. Daves
Chapter13: Capital Budgeting: Estimating Cash Flows And Analyzing Risk
Section: Chapter Questions
Problem 9MC: (1) What are the three types of risk that are relevant in capital budgeting? (2) How is each of...
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Question
Which of the following is not a reason for risk and uncertainty in capital budgeting?
a.
Decisions are based on expected cash flows
b.
All decisions are based on forecasts
c.
Decisions are based on past cash flows
d.
All forecasts are subject to uncertainty
Clear my choice
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