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True or False:

A comparison of rate of return and present/annual worth of methods leads to the conclusion that the two sets of methods when properly used give opposing decisions.

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Final answer:

False. A comparison of the rate of return and present/annual worth methods does not necessarily lead to opposing decisions in financial investments. These methods provide different perspectives on profitability and value.

Step-by-step explanation:

False. A comparison of the rate of return and present/annual worth of methods does not necessarily lead to opposing decisions. These methods serve different purposes and provide different perspectives on financial investments. The rate of return method measures the profitability of an investment by comparing the expected return with the initial investment. It helps investors assess the potential return on investment. On the other hand, the present/annual worth method focuses on the value of future cash flows, considering the time value of money. It helps investors determine the present value or the equivalent annual worth of an investment. While both methods provide valuable information, they may not always result in opposing decisions. Investors may consider both perspectives to make informed decisions based on their risk tolerance, investment goals, and financial situation.

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