Accept-reject rule, Financial Management

Accept-Reject Rule:

The decision rule is to accept the project if the computed payback period is less than the standard.  If not, reject it.  While ranking the projects, project with shortest payback period is assigned the top most rank.

Posted Date: 10/15/2012 9:18:57 AM | Location : United States







Related Discussions:- Accept-reject rule, Assignment Help, Ask Question on Accept-reject rule, Get Answer, Expert's Help, Accept-reject rule Discussions

Write discussion on Accept-reject rule
Your posts are moderated
Related Questions
R eceipt of bids and bid opening We discussed how to prepare the bids and to publish them in the earlier sub section. Now let us see how to receive and open bids. To receiv

What is capital rationing? Should a firm practice capital rationing? Why? Capital rationing is the practice of putting dollar limits on what will be invested in new capital bud

A Swiss Variable Rate Mortgage (SVRM) is a version of ARM which carries a coupon rate that a bank can change any time giving a notice of three m

Explain why accounting profits and cash flows are not the same thing. Stock worth depends on future cash flows, their riskiness and their timing.  Profit calculations don't con

Can a company have a default rate on its accounts receivable that is too low?  Explain. A company might have a default rate on AR that would be considered too low if by liberal

Q. Illustrate report on net present value? The NPV of a project is a positive $56000. This point to that using our cost of capital 10% as our discount rate the project is we

What is trustworthy collateral from the lenders' perspective?Explain whether accounts receivable and inventory are trustworthy collateral. Assets that are readily marketable of

Valuation The process of finding out the current value of an asset or company is known as valuation. There are various techniques that can be utilized to find value, few are su

where can i found a loan if i am unemployed ?

Explain about the Internal controls of benchmarking   "Comprises control environment and control procedures. It includes all the procedures (internal contr