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ZIMSEC A-Level Accounting

4.2Investment Appraisal

Investment Appraisal in ZIMSEC A-Level Accounting: what the syllabus expects you to know, the learning objectives and how to practise.
Subtopic66 practice questions3 lessons

Learning objectives

What the syllabus expects you to be able to do.

  1. 4.2.1Use accounting rate of return, payback period, net present value and internal rate of return to assess the viability of investment projects.
  2. 4.2.2State the decision criterion of each technique and analyse its advantages and disadvantages.

Lessons

  • Evaluating investment projects and making recommendations

    50 min

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  • Net present value and internal rate of return

    55 min

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  • Payback period and accounting rate of return

    50 min

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Sample question

A sample question on this topic. Answer it, check it, then read the worked answer.

Investment Appraisal: sample question

1 mark

Which investment appraisal technique uses accounting profit rather than cash flows?

Choose one answer

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