Which of the following methods consider the time value of money? A. payback and accounting rate of return B. payback and internal rate of return C. internal rate of return and accounting rate of return D. internal rate of return and net present value

Q: What are the aims of the cash flow statement?

A: Cash flow statement is a statement which records inflow & outflow of cash from the three main…

Q: How is payback calculated with equal net cash inflows?

A: A payback period is the amount of time needed to earn back the cost of an investment. The length of…

Q: What is understood by a Cash Flow Statement Is And How It Works?

A: The three financial statements are income statement, balance sheet and cash flow statement.These…

Q: Under IFRS, value-in-use is defined as: a.   net realizable value. b.   fair value. c.   future cash…

A: IFRS International financial reporting standards are guidance and framework provided for reporting…

Q: Which one of the following methods is based on net profit rather than cash flows? a. net present…

A: We use capital budgeting to determine if a project is financially viable or not. We accept viable…

Q: Which approach makes use of net income and which way makes use of cashflow

A: The cash flow statement is the direct way, and the indirect way.

Q: Explain the meaning of the term Time value of money by providing examples

A: Time Value of money means a sum of money right now is worth more than a sum of money received at a…

Q: How do youcalculate present and future value cash flows from various time periods using single and…

A: Capital budgeting tools are used to make a decision on how much capital should be invested in a…

Q: What is the alternative way of preparing the Cash Flow Statement?

A: Statement of cash flows: Statement of cash flow is a financial statement that shows the cash and…

Q: Give a conclusion about time value of money and its applications

A: Below is the conclusion about the time value of money:

Q: Nominal values are measured in ________ and real values take account of

A: Given  Nominal values are measured ? Real values taken account of?

Q: Explain each of the key factors that the time value of money depends on.

A: Time value of money:Time value of money is one of the most fundamental and basic concept of…

Q: What does the cash ratio help determine, and how is it calculated?

A: Cash ratio is a liquidity ratio that compares the assets of the company with its current…

Q: Define cash-basis net income.

A: Cash basis of accounting: Cash basis of accounting refers to the recognition of financial…

Q: What is a Cash Flow Statement?

A: A cash flow statement  is a statement which provides information about the changes in cash and cash…

Q: what are the operational aspects of the discounted cash flow (DCF) method?

A: What Is Discounted Cash Flow (DCF)?  Limited income (DCF) is a valuation technique used to assess…

Q: What cash flows are discounted in the FCFE model, and what is the discount rate?

A: FCFE MODEL: FCFR is known as free cash flow to equity or levered free cash flow, it is a model…

Q: cash flows versus net income.Which should we use in present value calculations and why?

A: Definition: NPV is the difference between present value of cash flow and present value of cash…

Q: What is free cash flow, and how is it calculated?

A: Free cash flow:Free cash flow is defined as an evaluation of financial performance of a company. It…

Q: What is Repayment cash flow?

A: Cash flows play a significant role in companies. It helps companies to identify the liquidity…

Q: Explain Net Income versus Cash Flow?

A: Definition: Statement of cash flows: This statement reports all the cash transactions which are…

Q: What does the cash flow statement summarize?

A: Financial Statement:   They are annual reports of an organization summarizing the financial…