Multiple Choice
Net present value is a highly valued decision-making tool because:
A) It only includes information which is known with certainty.
B) It is computed using the internal rate of return.
C) It can be applied to either independent or mutually exclusive projects.
D) It reveals the rate of return which investors will earn on average over the lifetime of the project.
E) It is affected by the magnitude rather than the timing of a project's cash flows.
Correct Answer:

Verified
Correct Answer:
Verified
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