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Mutually exclusive projects are those whose cash flows are unrelated to one another the acceptance of one does not eliminate the others from further consideration.

a. True
b. False

1 Answer

6 votes

Answer: False

Step-by-step explanation:

Mutually exclusive projects are the projects that compete directly with themselves in such a way that an individual can only choose one out of two projects and both cannot occur at thesame time.

The cash flows for a mutually exclusive projects compete with one another and when one accepts a project, it means that the other project can't be accepted.

User JasonG
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