Question

Question 1 If the projects are independent, the AW at the MARR is calculated. All the...

Question 1

If the projects are independent, the AW at the MARR is calculated. All the projects with AW equal or greater than zero are acceptable.

Question 1 options:

True

False

Question 2

One of the cautions when using the ROR method is that is great technique only for single projects. There is an special procedure to compare multiple alternatives.

Question 2 options:

True

False

Question 3

Conventional cash flows are also known as non-simple cash flows.

Question 3 options:

True

False

Question 4

When performing the "Incremental ROR analysis" of multiple mutually exclusive alternatives, the first step is to order all the alternatives from the largest to the smallest initial investment.

Question 4 options:

True
False
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Answer #1

Question 1

If the projects are independent, the AW at the MARR is calculated. All the projects with AW equal or greater than zero are acceptable.

False

Question 2

One of the cautions when using the ROR method is that is great technique only for single projects. There is an special procedure to compare multiple alternatives.

False

Question 3

Conventional cash flows are also known as non-simple cash flows.

False

Question 4

When performing the "Incremental ROR analysis" of multiple mutually exclusive alternatives, the first step is to order all the alternatives from the largest to the smallest initial investment.

True

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