What Is the Major Disadvantage of the Internal Rate of Return

question 1

Multiple Choice

What is the major disadvantage of the internal rate of return method?

• A)It complicates the comparison of projects of the different sizes.
• B)It can produce more than one internal rate of return.
• C)It discriminates against long-term projects.
• D)It ignores the time value of money.
• E)It ignores the expected service life.

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