A: the projects are mutually exclusive.
B: the projects are independent.
C: the projects terminate within five years.
举一反三
- Compared with the net present value (NPV) method, the internal rate of return (IRR) method of evaluating investment projects:() A: is the preferred method for evaluating mutually exclusive projects. B: is not sensitive to the pattern or timing of the cash flows from the period. C: assumes that all cash flows from the project will be reinvested at the computed IRR.
- What are mutually exclusive investment projects? A: If two investment projects are mutually exclusive, that is to say, if we accept one of them, we should accept another project. B: If two investment projects are mutually exclusive, that is to say, if we accept one of them, we cannot accept another project. C: If two investment projects are mutually exclusive, that is to say, if we reject one of them, we should reject another project. D: None of above is true
- Which of the following statements is FALSE? A: The incremental IRR need not exist. B: If a change in the timing of the cash flows does not affect the NPV, then the change in timing will not impact the IRR. C: Although the incremental IRR rule can provide a reliable method for choosing among projects, it can be difficult to apply correctly. D: When projects are mutually exclusive, it is not enough to determine which projects have positive NPVs.
- Which of the following is NOT a problem associated with the internal rate of return (IRR) method for making investment decisions:() A: IRR and NPV criteria can give conflicting decisions for mutually exclusive projects. B: if the IRR is above the firm’ s cost of capital, the project should be rejected. C: The IRR method assumes cash flows are reinvested at the investment’ s internal rate of return.
- What are mutually exclusive investment projects? If two investment projects are mutually exclusive, that is to say, if we accept one of them, we can't accept another project.
内容
- 0
What are mutually exclusive investment projects? If two investment projects are mutually exclusive, that is to say, if we accept one of them, we can't accept another project. A: 正确 B: 错误
- 1
When evaluating two mutually exclusive investments, the best method to use is the: A: modified internal rate of return. B: net present value. C: profitability index. D: average accounting return. E: internal rate of return.
- 2
One of the most popular methods available to assess the feasibility of projects is the net present value (NPV) technique.
- 3
Which of the following statements is themostaccurate description concerning the internal rate of return (IRR) method? IRR: A: is the preferred method for evaluating mutually exclusive projects. B: assumes that all cash flows from a project will be reinvested at the computed IRR. C: is sensitive to changes in the firm’s weighted average cost of capital.
- 4
In what way is the modified internal rate of return (MIRR) method better than the IRR method?