Which method of evaluating capital investment proposals uses the concept of present value to compute a rate of return?

QUESTION POSTED AT 01/06/2020 - 01:58 PM

Answered by admin AT 01/06/2020 - 01:58 PM

The method of evaluating capital investment proposals that uses the concept of present value to compute a rate of return would be: internal rate of return
the internal rate of return method of evaluation analyze the present value of all cash flows from all investments.
This method is most commonly used to determine whether a potential investment will be profitable or not.
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