Which of the following criteria should be used to choose a project if there is a conflict between two mutually exclusive projects?
A) The project whose internal rate of return is higher than its modified internal rate of return should be chosen.
B) The project whose internal rate of return is equal to the expected rate of return should be chosen.
C) The project with a higher net present value (NPV) should be chosen.
D) The project whose payback period is equal to the expected years required to recover the original investment should be chosen.
E) The project whose discounted payback period is longer than its traditional payback period should be chosen.
Correct Answer:
Verified
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