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Which of the Following Is False

Question 45

Multiple Choice

Which of the following is false?


A) The IOS plots the IRRs of available projects in descending order.
B) Breaks in the MCC are caused by increases in project IRRs.
C) A break in the MCC will occur where retained earnings are exhausted.
D) The intersection of the MCC and the IOS determines the WACC for the planning period.

Correct Answer:

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