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CTP · Question #9

CTP Question #9: Real Exam Question with Answer & Explanation

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Question

  • (Topic 1) Which of the following is NOT a drawback to using ROI as a performance measure?

Options

  • AIt may be misleading when cash flows are not evenly distributed over time.
  • BIt does not consider the profit generated by a project.
  • CIt does not include a charge for cost of capital.
  • DIt may lead to rejection of a positive NPV project.

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