Which of the following may be TRUE regarding mutually exclusive capital budgeting projects?
A)There is need for only one project,and both projects can fulfill that current need.
B)By using funds for one project,there are not enough funds available for the other project.
C)There is a scarce resource that both projects would need.
D)All of the above

Question

Quizplus · Accepted Answer

Mutually exclusive projects are those where the acceptance of one project excludes the acceptance of the other. This can be due to various reasons such as fulfilling the same need (A), budget constraints (B), or competing for the same scarce resources (C). Therefore, all the given options may be true for mutually exclusive projects.

Which of the Following May Be TRUE Regarding Mutually Exclusive