If an investment project's internal rate of return (IRR)is higher than a company's required rate of return,the company should reject the investment.

Question

Quizplus · Accepted Answer

If the internal rate of return (IRR) is higher than the company's required rate of return, then the investment should be accepted as it is expected to generate a return greater than the company's cost of capital.

If an Investment Project's Internal Rate of Return (IRR)is Higher