Polo Co. requires higher rates of return for projects with a life span greater than five years. Projects extending beyond five years must earn a higher specified rate of return. Which of the following capital budgeting techniques can readily accommodate this requirement?
|
Internal rate of return |
Net present value |
|
|
a. |
Yes |
No |
|
b. |
No |
Yes |
|
c. |
No |
No |
|
d. |
Yes |
Yes |