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Which One of These Projects Would You Always Reject

Question 87

Multiple Choice

Which one of these projects would you always reject?


A) High operating leverage, sales projected at the accounting break-even level, and no option to abandon or expand.
B) High operating leverage, sales projected at the NPV break-even level, and an option to abandon or expand.
C) Low operating leverage, sales projected at the accounting break-even level, and an option to abandon or expand.
D) Low operating leverage, sales projected at the NPV break-even level, and an option to abandon or expand.

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