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Use the Table for the Question(s)below

Question 14

Multiple Choice

Use the table for the question(s) below.
Consider the following two projects:
Use the table for the question(s) below. Consider the following two projects:    -Assume that projects A and B are mutually exclusive.The correct investment decision and the best rationale for that decision is to: A) invest in project A,since NPV<sub>B</sub> < NPV<sub>A</sub>. B) invest in project B,since IRR<sub>B</sub> > IRR<sub>A</sub>. C) invest in project B,since NPV<sub>B</sub> > NPV<sub>A</sub>. D) invest in project A,since NPV<sub>A</sub> > 0. E) invest in project A,since IRR<sub>A</sub> > IRR<sub>B</sub>.
-Assume that projects A and B are mutually exclusive.The correct investment decision and the best rationale for that decision is to:


A) invest in project A,since NPVB < NPVA.
B) invest in project B,since IRRB > IRRA.
C) invest in project B,since NPVB > NPVA.
D) invest in project A,since NPVA > 0.
E) invest in project A,since IRRA > IRRB.

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