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Which of the following statements about capital investment analysis is most correct? ...

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Accounting

Which of the following statements about capital investment analysis is most correct?

A Although a useful accounting concept, breakeven analysis has no role in capital investment analysis.
B Net present value (NPV) measures a projects rate of return, while internal rate of return (IRR) measures a projects dollar return.
C An NPV of zero indicates that the project is expected to return the amount of the initial investment, but it will not provide a return on that investment.
D On most projects, the NPV and IRR measures will give conflicting results, so managers must use judgment as to which measure to use.
E Payback measures the length of time it takes to recover the initial investment in the project.

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