A mutually exclusive project is a project whose:
A)acceptance or rejection has no effect on other projects.
B)NPV is always negative.
C)IRR is always negative.
D)acceptance or rejection affects other projects.
E)cash ﬂow pattern exhibits more than one sign change.

Question

Quizplus · Accepted Answer

Mutually exclusive projects are those where the acceptance of one project affects the acceptance of another, meaning if one project is chosen, the other cannot be. This is because they serve the same purpose or fulfill the same need, so selecting one typically precludes the selection of the other.

A Mutually Exclusive Project Is a Project Whose