Two projects which each _____ is an example of mutually exclusive projects.
A) Require an initial investment of $1.5 million.
B) Must occur during the same period of time.
C) Must start up in the same ﬁscal year.
D) Require the total use of the same limited economic resource.
E) Have differing internal rates of return.

Question

Quizplus · Accepted Answer

Mutually exclusive projects are those projects that cannot be pursued simultaneously because they require the use of the same limited economic resource. In this case, both projects require the total use of the same limited economic resource, so they are mutually exclusive.

Two Projects Which Each _____ Is an Example of Mutually