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For Two Mutually Exclusive Projects with Equal Lives, the One

Question 42

Multiple Choice

For two mutually exclusive projects with equal lives, the one with


A) a higher IRR should be chosen.
B) a higher incremental PW at the MARR should be chosen.
C) a higher incremental FW at the MARR should be chosen.
D) a higher incremental IRR than the MARR should be chosen.
E) a higher incremental AW at the MARR should be chosen.

Correct Answer:

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