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Which of the following statements is FALSE?

johnpaech

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Posts: 1098

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6 years ago

Which of the following statements is FALSE?

Which of the following statements is FALSE?
A) The incremental IRR investment rule applies the IRR rule to the difference between the cash flows of the two mutually exclusive alternatives.
B) When a manager must choose among mutually exclusive investments, the NPV rule provides a straightforward answer.
C) The likelihood of multiple IRRs is greater with the regular IRR rule than with the incremental IRR rule.
D) Problems can arise using the IRR method when the mutually exclusive investments have differences in scale.

Textbook

Corporate Finance: The Core

Corporate Finance: The Core

Edition: 4^th

Authors: Berk, DeMarzo

Read 76 times

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deusmaroto

wrote...

#1

6 years ago

C

johnpaech Author

wrote...

#2

5 years ago

Really appreciate the help

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