A firm should not make an investment if
1) its net present value is positive
2) its net present value is negative
3) the internal rate of return exceeds the cost of capital
4) the internal rate of return is less than the cost of capital
A) 1 and 3
B) 1 and 4
C) 2 and 3
D) 2 and 4
Correct Answer:
Verified
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