When making capital rationing decisions, the size of the initial investment required may differ between alternative investments.

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When making capital rationing decisions, the size of the initial investment required may differ between alternative investments. The profitability index can be used in combination with which of the following methods to help managers choose among alternatives?
a. Internal rate of return
b. Net present value
c. Payback period
d. Accounting rate of return

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Related Book For  answer-question

Managerial Accounting

ISBN: 9780137858514

7th Edition

Authors: Karen W. Braun, Wendy M. Tietz

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