Sort Metrics by the Question They Answer

Place each metric in the bucket that matches its best decision question. Value creation Return screen Liquidity timing Capital rationing Unequal asset lives Net present value in dollars Internal rate of return compared with hurdle rate Simple or discounted payback period Profitability index for value per invested dollar Equivalent annual cost for equipment alternatives Modified IRR with realistic reinvestment assumption NPV of the selected feasible bundle Months until cumulative cash turns positive

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