When a firm is considering a project, it performs a project analysis. Which of the following is not considered a part of project analysis?
a. |
Risk analysis |
|
b. |
Net Present Value analysis |
|
c. |
Labor market analysis |
|
d. |
Cash flow analysis |
The risk analysis, net present value analysis and cash flow analysis are a part of the project evaluation processes. The above-named analyses are performed for every project before a decision to take up a project is taken.
The labor market analysis is performed when a new firm is started in order to decide on the positions and the salaries paid to each position etc. The labor market analysis is generally not performed for deciding on a particular project.
Ans: c. Labor market analysis
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