With Independent Projects, NPV and IRR Provide Identical Accept/reject Decisions

question 87

Multiple Choice

With independent projects, NPV and IRR provide identical accept/reject decisions.If, however, you have two mutually exclusive projects to evaluate, the most accurate thing you could say about the eventual results is that:

• A)NPV and IRR may give conflicting resultsrankings
• B)NPV and IRR never give the same resultrankings
• C)NPV and IRR always give the same resultrankings
• D)IRR is more lenient in accepting

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