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Use the following mutually exclusive investment cash flows for the question(s) below: Project A B Year o $2001 $275 Year 11 $1001 $125 Year 2
Use the following mutually exclusive investment cash flows for the question(s) below: Project A B Year o $2001 $275 Year 11 $1001 $125 Year 2 $100 $125 Year 3 $100 $125) Based on the payback criterion, which of the following is NOT true? Multiple Choice With a payback cutoff of 1.5 years, neither project is acceptable. O With a payback cutoff of three years, both projects are acceptable. With a payback cutoff of 1.75 years, only Project A is acceptable. If you choose the project that pays back the fastest, Project A is preferred. With a payback cutoff of 2.5 years, both projects are acceptable
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