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McGraw-Hill/Irwin Copyright © 2014 by the McGraw-Hill Companies, Inc. All rights reserved
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8-1 CHAPTER 8 LECTURE - NET PRESENT VALUE AND OTHER INVESTMENT CRITERIA
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Key Concepts and Skills Understand: –The payback rule and its shortcomings –Accounting rates of return and their problems –The internal rate of return
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8-2 Capital Budgeting Analysis of potential projects Long-term decisions Large expenditures Difficult/impossible to reverse Determines firm’s strategic
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