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Which of the following statements is FALSE?A. The internal rate of return is defined as the discount rate which results in a zero net present value for the project.B. The primary advantage to payback analysis is that it biases companies to invest in long-term projects that require large current expenditures on research and development.C. The average accounting return ignores cash flows is most similar to computing the return on assets (ROA).D. The profitability index reflects the value created per dollar invested.
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