Moderate

Financial analysis means:

Correct answer: D. All of the above

  • A. It is carried out in terms of market prices of inputs as well as benefits
  • B. We do not take into account intangible benefits
  • C. Financial analysis is carried out in case of individual
  • D. All of the above

Explanation

Financial analysis assesses a project from the investor's or individual's viewpoint, using market prices for inputs and benefits; intangible benefits are generally excluded because they do not have market prices. Thus all three statements describe financial analysis.

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