Which of the Following Statements Is False

question 11

Multiple Choice

Which of the following statements is false?

• A) The incremental IRR need not exist.
• B) If a change in the timing of the cash flows does not affect the NPV, then the change in timing will not impact the IRR.
• C) Although the incremental IRR rule can provide a reliable method for choosing among projects, it can be difficult to apply correctly.
• D) When projects are mutually exclusive, it is not enough to determine which projects have positive NPVs.

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Definitions:

Focused Differentiation

A business strategy where a company targets a specific market segment, offering specialized products or services that uniquely meet the needs of that segment.

Rapid Product Development

A strategy aimed at accelerating the design, creation, and launch of new products to market through streamlined processes.

Mission Statement

A structured overview detailing the goals and principles of a business, entity, or individual.

Product/Service Quality

The measure of how well a delivered product or service meets the customer's expectations.