Which of the Following Statements Is False

question 26

Multiple Choice

Which of the following statements is False?

• A) The net present value method always indicates the project that maximizes the net present value of present and future cash flows.
• B) The internal rate of return method can rank projects differently from the net present value method if the alternative projects have uneven lives.
• C) The profitability index is superior to the internal rate of return on small projects.
• D) The internal rate of return assumes that the reinvestment rate is equal to the indicated rate of return.
• E) The internal rate of return method can rank projects differently from the net present value method if the alternative projects have unequal lives, or unequal investments.

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Definitions:

Tourette Syndrome

A neurological disorder characterized by repetitive, involuntary movements and vocalizations called tics, often emerging in childhood.

Skilled Movement

Complex, coordinated activities that require fine motor control and expertise, often learned through practice.

Motor Control

The process by which the nervous system directs or influences muscles to perform voluntary movements.

Cerebellum

A region of the brain that plays an important role in motor control, coordination, precision, and timing of movements.