Which one of the following is the best example of two mutually exclusive projects?
A) Planning to build a warehouse and a retail outlet side by side.
B) Buying sufficient equipment to manufacture both desks and chairs simultaneously.
C) Using an empty warehouse for storage or renting it entirely out to another firm.
D) Using the company sales force to promote sales of both shoes and socks.
E) Buying both inventory and fixed assets using funds from the same bond issue.

Question

Quizplus · Accepted Answer

Mutually exclusive projects are those where the acceptance of one project prevents the acceptance of another. In option C, using the warehouse for storage excludes the possibility of renting it out, and vice versa, making them mutually exclusive.

Which One of the Following Is the Best Example of Two