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Which of the following is NOT an advantage of using the profitability index as an investment rule in capital budgeting decision? Multiple Choice Easy to

Which of the following is NOT an advantage of using the profitability index as an investment rule in capital budgeting decision? Multiple Choice

Easy to communicate.

Generally will lead to the correct value-added decision.

Easy to understand.

Useful when there are limited funds for investments.

Will always lead to the same conclusion as the NPV rule.

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