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    Financial Management Theory and Practice Study Set 1
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    Exam 10: The Basics of Capital Budgeting: Evaluating Cash Flows
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    Selecting the Project That Has the Highest Equivalent Annual Annuity
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Selecting the Project That Has the Highest Equivalent Annual Annuity

Question 20

Question 20

True/False

Selecting the project that has the highest equivalent annual annuity seems to be the rule for comparing projects with different lives.This rule should apply to both independent and mutually exclusive projects.

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