Which Statement About the Selection of Mutually Exclusive Projects Using

Multiple Choice

Which statement about the selection of mutually exclusive projects using the benefit-cost ratio method is true?

A) The benefit-cost ratio selects the project with the lowest ratio.
B) The benefit-cost ratio may rank projects differently from the net present value method.
C) The benefit-cost ratio may select a project,even though it may have a negative net present value.
D) The benefit-cost ratio will not select a project with a ratio greater than 1.