All other factors equal,a large number is preferred to a smaller number for all capital project evaluation measures except

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For Payback period, a smaller number (shorter payback period) is preferred as it indicates that the project will generate cash flows to recover the initial investment faster. For all other measures (NPV, IRR, PI), a larger number indicates higher profitability or return, therefore a larger number is preferred.

All Other Factors Equal,a Large Number Is Preferred to a Smaller