Match the List-I with List-Il
|
LIST I Concept |
LIST II Meaning |
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|
A. |
Profitability Index |
I. |
Rate that equates the investment outlay with the present value of cash inflow received after one period |
|
B. |
Accounting Rate of Return (ARR) |
II. |
Compound average annual rate that is calculated with a reinvestment rate different than the project's IRR |
|
C. |
Internal Rate of Return (IRR) |
III. |
Rate that is computed by dividing the average profit after tax with the average investment |
|
D. |
Modified Internal Rate of Return (MIRR) |
IV. |
Ratio of the present value of cash inflows, at the required rate of return, to the initial cash outflow of the investment |
Choose the correct answer from the options given below.
1
A - IV, B - III, C - I, D - II
2
A - I, B - IV, C - II, D - III
3
A - II, B - I, C - III, D - IV
4
A - III, B - II, C - IV, D - I