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    marisale's Avatar
    marisale Posts: 1, Reputation: 1
    New Member
    		  
    #1

    Mar 12, 2007, 09:20 AM
    NPV vs. IRR in capital purchase decision
    Hi!
    In the case of an industrial construction and purchase decision, what would be the best approach? Would NPV or IRR yield the best criteria for the decision between several companies?

    I need to know the pros and cons of each and how they would work together. I know this is usually based on personal preference, but as of now, I do not have a preference and would like to hear all sides.

    Thanks for your response.
    CliffARobinson's Avatar
    CliffARobinson Posts: 1,416, Reputation: 101
    Ultra Member
    		  
    #2

    Mar 12, 2012, 07:36 AM
    I found a great primer on Capital Budgeting to help with your study question.
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