Detailed explanation to project evaluation

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Reference no: EM1343686

Detailed Explanation to Project Evaluation

True or false:

1) When multiple IRR's exist, mutually exclusive projects have different lives

2) To measure relevant cash flows associated with a project, the analyst should exclude sunk costs, interest, expenses, dividend payments and accounting depreciation

3) If inflation is included in the projection of cash flows, a real discount rate must be sed to discount cash flows in computing the NPV

Reference no: EM1343686

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