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In what circumstance is the profitability index helpful? When the capital budget is less than the total initial costs of all positive NPV independent projects

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In what circumstance is the profitability index helpful? When the capital budget is less than the total initial costs of all positive NPV independent projects When there are multiple IRRs When the capital budget is less than the NPV of all positive NPV independent projects When the capital budget is less than the total initial costs of all possible projects (regardless of NPV)

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