Question 20 (4 points) Problems associated with the internal rate of return method of project...
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Question 20 (4 points) Problems associated with the internal rate of return method of project analysis include: There are no problems associated with the IRR: it is the best of all capital budgeting methods. the assumption that all cash flows are reinvested at the IRR. having to invert the acceptance rule, when dealing with non-normal cash flows. its inability to reliably handle mutually exclusive projects. the possibility of multiple IRRs. Question 23 (4 points) Which one of the following decision methods is best when deciding between two investments which are mutually exclusive? the average accounting return the simple (undiscounted) payback period the modified internal rate of return the discounted payback period the profitability index the net present value the internal rate of return
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