Quiz Ch 08 – Bias in Investment Decisions and the Payback Rule

Fundamentals of Corporate Finance

Brealey, Myers, and Marcus

10th Edition

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When firms utilize the payback rule for investment decisions, what type of projects might they exhibit a bias toward rejecting?

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  • Search Terms: a) based be biased cash decisions firms have inflows. d) investment late lives. b) lives. c) long make may negative npvs. on payback projects: rejecting rule short that the toward with
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