In: Finance
Which of the following capital budgeting rules are most closely associated with the goal of maximizing shareholder wealth?
Group of answer choices
A. Payback
B. Discounted Payback
C. Net Present Value
D. IRR / MIRR
E. Profitability Index
Ans C. Net Present Value
Net Present value is the difference of present value of cash inflows and cash outflows. A project must be accepted if NPV is positive and must be rejected if NPV is negative.