Final answer:
Alibaba used investment appraisal methods such as the Payback Period, Net Present Value (NPV), and Internal Rate of Return (IRR) for their IPO in 2014.
Step-by-step explanation:
Alibaba used investment appraisal methods for its IPO in 2014 to evaluate the financial viability of the offering. One of the methods they used was the Payback Period, which calculates the time it takes for an investment to recoup its initial cost.
Another method was the Net Present Value (NPV), which assesses the profitability of an investment by comparing the present value of cash inflows and outflows. Additionally, they may have also used the Internal Rate of Return (IRR), which measures the rate of return generated by the investment.