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Fundamentals of Financial Manageme...
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Fundamentals of Financial Manageme...
What is a mutually exclusive project? How should managers rank mutually exclusive projects?
To explain: The concept of mutually exclusive project and the way of ranking these projects by a manager.
Introduction:
Mutually Exclusive Projects:
It refers to the group of projects in which, if one project is accepted it will automatically imply the rejection of rest. It refers to those projects for which the investment cannot be made together.
The concept of mutually exclusive projects is,
- Mutually exclusive projects are those projects that cannot be accepted together and requires the selection of the project that provides highest benefit to the company.
- These projects are not accepted together due to lack of time, limited resources and any other.
The way of ranking by a manager to mutually exclusive projects is,
- Since, these projects require selection of ...
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