问一道题：NO.PZ2018101501000026

问题如下：

Statement 1: It is acceptable to use either the NPV or IRR because they do not require equal lives when comparing two mutually exclusive projects with unequal lives.

Statement 2: Capital budgeting decisions should not be based on its earnings per share.

Which of the above statements is correct?

选项：

Both.

Neither.

Only one is correct.

解释：

C is correct.

考点：Common Capital Budgeting Pitfalls

解析：当我们在对比不同期限的互斥项目时，我们应该采用的是least-common multiple of lives（ 最小公倍数法 ）或者equivalent annual annuity approach（ EAA法 ），这两个方法使用的都是NPV而不是IRR。资本预算的决策应该基于现金流而非会计利润。