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Real cash-flows should be discounted at the inflation rate to compute nominal cash-flows. True or false?

nominal cash-flows. State True or False.

Financial Management
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Question added by Deleted user
Date Posted: 2014/08/10
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Kamran Anjum
by Kamran Anjum , Head of Internal Audit , Rafhan Maize Products Company limited, Faisalabad, Pakistan, Ingredion Incorporated Gmbh

False......As real cash flows should be discounted on real rate and nominal cash flows should be discounted and nominal rate.

MOHAMMED HANEEF
by MOHAMMED HANEEF , Contracts Manager/Administrator , Schuster Pechtold Architects, Engineers & Designers

false as real cash flows should be discounted on real rate and nominal cash

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