What role does ethics play in the capital budgeting process, Financial Management

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What role does ethics play in the capital budgeting process

1. Consider a bond that costs $1000 today and promises a one tine future payment of $1080 in four years. What is the approximate interest rate.

2. Because capital budgeting involves the use of a number of estimates (including cash flows), there is room for considerable error. What role does ethics play in the capital budgeting process?

3. What is the payback method? Is this a good method for decision making?

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