Question
India's first ever highway capacity manual was
inaugurated by:Solution
Road Transport and Highway Minister Nitin Gadkari released India’s first ever Highway Capacity Manual in New Delhi.
Project A requires investment of ₹10,00,000 with annual cash inflows of ₹3,00,000 for 5 years. Cost of capital = 10%. Compute Net Present Value (NPV...
A company with stable earnings announces a sudden, large cut in dividend despite strong retained earnings and no capital expenditure needs. Which interp...
Raman Ltd. is evaluating a new machine costing ₹60 lakhs with a useful life of 5 years. The expected annual operating cash inflows (after-tax) are ₹...
Project requires initial investment of ₹10 lakhs. Annual cash inflows: Year1-₹2L, Year2-₹3L, Year3-₹4L, Year4-₹5L. Cost of capital 10%. NPV? (...
The Capital Asset Pricing Model (CAPM) describes the relationship between:
A project requires an initial investment of ₹10,00,000 and is expected to generate cash inflows of ₹4,00,000 per annum for 3 years. The Payback Peri...
The discount rate that makes the NPV of a project equal to zero is called the:
If two mutually exclusive projects have conflicting rankings under NPV and IRR, which method should be preferred?
The Net Present Value (NPV) of a project is:
Which method in capital budgeting considers the time value of money but ignores cash flows beyond payback?