Manag., July-2016-Q16
0. Match the items of List–I with the items of List–II :
| List–I | List–II |
| (a) Net present value | 1. Number of years required to recover the original cash outlay invested in a project. |
| (b) Payback period | 2. It is the rate of return that equates the present value of anticipated net cash flows with the initial outlay. |
| (c) Internal rate of return | 3. It is found out by dividing the average after-tax profit by the average investment. |
| (d) Accounting rate of return | 4. It is the difference between the present value of cash inflows and present value of cash outflows. |
