All the mutually exclusive projects need to be ranked with only the best project accepted.
True
False
true correct?
True, because only one project can be selected if they are mutually exclusive
All the mutually exclusive projects need to be ranked with only the best project accepted. True...
For two mutually exclusive projects the project with the higher IRR is the correct selection. True or False
When choosing among mutually exclusive projects we choose the project with the highest NPV. True or False
If projects are mutually exclusive a. they can only be accepted under capital rationing. b. the selection of one alternative precludes the selection of other alternatives. c. the payback method should be used. d. only the net present value method can be used.
1(a). (TRUE or FALSE?) If projects A & B are mutually exclusive and their NPVs are less than zero, accept both projects. 1(b). (TRUE or FALSE?) Internal rate of return method shows how many years take to recoup the initial investment. 1(c). (TRUE or FALSE?) Any time you consider investing in a project, you will not actually receive the IRR unless you can reinvest the project’s intervening cash flows at the IRR.
1. A. Which of the following mutually exclusive projects should be accepted? Project NPV Payback IRR A +42,176 2 years, +$10,500 16.4% B +39,090 2 years, +9,670 15.8% C +41,894 3 years, +16,620 13.2% D +43,778 3 years, +11,625 14.9% E +38,952 2 years, +15,475 15.9% B. What is the Payback Period of a project with an initial cost of $75,000, Year 1 cash flow of $20,000 which increases by 5% each year? If the Payback cutoff is 3 years,...
With non-mutually exclusive projects. a. the payback method will select the best project. b. the net present value is not acceptable. c. the internal rate of return method will always select the best project. d. the net present value and the internal rate of return methods will accept or reject the same project.
Which of the following mutually exclusive projects should be accepted? Project 00D NPV +42,176 +39,090 +41,894 +43,778 38,952 Payback 2 years, +$10,500 2 years, +9,670 3 years, +16,620 3 years, +11,625 2 years, +15,475 IRR 16.4% 15.8% 13.2% 14.9% 15.9%
Which of the following mutually exclusive projects should be accepted? Project INPV IRR Payback 12 years, +$10,500 2 years, +9,670 3 years, +16,620 3 years, +11,625 2 years, +15,475 +42,176 +39,090 +41,894 +43,778 +38,952 00W 16.4% 15.8% 13.2% 14.9% 15.9%
you are considering the following two mutually exclusive projects. the crossover point is ______ and Project ______ should be accepted if the discount rate is 14 percent. year, project A, project B, 0, -43000, -43000, 1, 18000, 29000, 2, 18000, 14000, 3, 28000, 21000.
Question 9 1 pts (9) Consider three mutually exclusive projects: Project A, Project B and Project C. The NPV of these projects are given as: Project A 37,000 Project B 28,000 Project C 14.000 NPV The project costs are not the same. Which of the following is all three projects will be rejected. only Project A will be chosen. all three projects will be chosen. only Project will be chosen. both Project A and B will be chosen Question 10...