IIA-CIA-Part3 Exam QuestionsBrowse all questions from this exam

IIA-CIA-Part3 Exam - Question 113


Which of the following capital budgeting techniques considers the expected total net cash flows from investment?

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Correct Answer: CD

The net present value (NPV) considers the expected total net cash flows from an investment by calculating the present value of all future cash flows generated by the investment, discounted at the required rate of return. This method provides a comprehensive measure of an investment's potential profitability over its entire life period.

Discussion

5 comments
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TicoOption: D
Aug 19, 2021

I think D is correct too. Btw the reference URL below the answer is not working.

WalewweeeedOption: D
Jul 7, 2021

D is correct

Steve8TaiwanOption: D
Oct 30, 2021

I picked D too.

ciacandidateOption: D
Aug 8, 2023

D. The rest is inaccurate

KonradKOption: D
Feb 26, 2024

It's D! Admins please review all commentaries from users and update answers accordingly. Thank you.