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Net present value: is the best method of analyzing mutually exclusive projects. is less useful than...

Net present value:

is the best method of analyzing mutually exclusive projects.

is less useful than the internal rate of return when comparing different sized projects.

is the easiest method of evaluation for non-financial managers to use.

is less useful than the profitability index when comparing mutually exclusive projects.

is very similar in its methodology to the average accounting return.

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Answer #1

Answer- Net present value= is the best method of analyzing mutually exclusive projects.

Explanation- Net present value =Present value of cash inflows – Total outflows

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