Making mutually exclusive decisions with Net Present Value or Rate of Return

Описание к видео Making mutually exclusive decisions with Net Present Value or Rate of Return

Which criterion do you rely upon to make mutually exclusive decisions: Net Present Value (NPV) or Rate of Return (ROR)? Let's assume you have two mutually exclusive investing opportunities with differing cash flows, NPVs and RORs. In this video, we'll explore a properly developed incremental evaluation that enables all criterion, including ROR, NPV, and ratios, to reach the same economic conclusion.

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