Fin 3250 final exam 2023 - Study guides, Class notes & Summaries

NPV Rule - correct answers An investment should be acceptied if the NPV is positive and rejected if it is negative Payback Period Rule - correct answers an investment is acceptable if its calculated payback period is less than some prespecified number Average accounting return rule - correct answers a project is acceptable if its AAR exceeds a target avg accounting return IRR Rule - correct answers an investment is acceptable if the IRR exceeds the required return; it should rejecte...