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Which of the following is NOT a drawback to using ROI as a performance measure?

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Which of the following is NOT a drawback to using ROI as a performance measure?

A.

It may be misleading when cash flows are not evenly distributed over time.

B.

It does not consider the profit generated by a project.

C.

It does not include a charge for cost of capital.

D.

It may lead to rejection of a positive NPV project.

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