In finance, why would we not want to select between two projects purely based on the increase in the firm's current period net income from the actions required to invest in each project? The change in net income is not risk-adjusted, so you would not be able to properly compare value of the two projects Net income is not forward-looking, and would only capture immediate effects of the project, ignoring long-term effects Net income includes the effects of financing decisions, such as interest payments on debt used to finance the project, which are not part of the project's cash flows Net income is a 'book' number, and does not accurately reflect the cash that is available to be paid to investors