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Determine if the following statement is true, false, or uncertain. Explain. Consider two alternative projects, A and B. It is known that _A < r
Determine if the following statement is true, false, or uncertain. Explain.
"Consider two alternative projects, A and B. It is known that
_A < r < _B,
where _j is the internal rate of return of project j = A, B and r is the discount rate. Even in this case, project A may sometimes be preferred to project B according to the present value criterion."
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