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Permanently Rejecting an Investment Project Today May Not Be a Wise

Question 20

Multiple Choice

Permanently rejecting an investment project today may not be a wise decision primarily because:


A) the size of the firm will be less than it would be with the project.
B) there are always errors in the estimation of NPVs.
C) the management team may be replaced.
D) the company is foregoing all future options.
E) the firm may not have any other investment opportunities.

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