• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
Free ACCA & CIMA online courses from OpenTuition

Free ACCA & CIMA online courses from OpenTuition

Free Notes, Lectures, Tests and Forums for ACCA and CIMA exams

  • ACCA
  • CIMA
  • FIA
  • OBU
  • Books
  • Forums
  • Ask AI
  • Search
  • Register
  • Login
  • ACCA Forums
  • Ask ACCA Tutor
  • CIMA Forums
  • Ask CIMA Tutor
  • FIA
  • OBU
  • Buy/Sell Books
  • All Forums
  • Latest Topics

June 2025 ACCA Exam Results

Comments & Instant poll >>

20% off ACCA & CIMA Books

OpenTuition recommends the new interactive BPP books for June 2025 exams.
Get your discount code >>

superiority of cash flow techniques in investment appraisal

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA SBL Exams › superiority of cash flow techniques in investment appraisal

  • This topic has 1 reply, 2 voices, and was last updated 8 years ago by Ken Garrett.
Viewing 2 posts - 1 through 2 (of 2 total)
  • Author
    Posts
  • February 10, 2017 at 10:41 am #371848
    Vipin
    Member
    • Topics: 151
    • Replies: 374
    • ☆☆☆☆

    why is that cash flow techniques like NPV, IRR is considered superior to methods like ARR which considers annual operating profit?

    One reason I could think of is that, a profit can be manipulated by managers.

    February 10, 2017 at 4:12 pm #371866
    Ken Garrett
    Keymaster
    • Topics: 10
    • Replies: 10597
    • ☆☆☆☆☆

    The other main reason is that NPV and IRR take into account the time value of money. That concept is the foundation of discounting.

  • Author
    Posts
Viewing 2 posts - 1 through 2 (of 2 total)
  • You must be logged in to reply to this topic.
Log In

Primary Sidebar

Donate
If you have benefited from our materials, please donate

ACCA News:

ACCA My Exam Performance for non-variant

Applied Skills exams is available NOW

ACCA Options:  “Read the Mind of the Marker” articles

Subscribe to ACCA’s Student Accountant Direct

ACCA CBE 2025 Exams

How was your exam, and what was the exam result?

BT CBE exam was.. | MA CBE exam was..
FA CBE exam was.. | LW CBE exam was..

Donate

If you have benefited from OpenTuition please donate.

PQ Magazine

Latest Comments

  • RitikaR29 on Financial management objectives – ACCA Financial Management (FM)
  • Krishadarwin on Strategy : real life examples – ACCA Strategic Business Leader (SBL)
  • mabdullah31 on Conceptual Framework – ACCA SBR lecture
  • MikeLittle on Illegalities – ACCA Corporate and Business Law (LW) (ENG)
  • roksy on Illegalities – ACCA Corporate and Business Law (LW) (ENG)

Copyright © 2025 · Support · Contact · Advertising · OpenLicense · About · Sitemap · Comments · Log in