An investment project has a positive net present value.The internal rate of return is:
A) less than the cost of capital.
B) greater than the cost of capital.
C) equal to the cost of capital.
D) indeterminate; it depends on the length of the project.
Correct Answer:
Verified
Q14: Which statement is true about amortization?
A) Amortization
Q15: The _ assumes returns are reinvested at
Q16: For acceptable investments,the discount rate assumption under
Q17: Capital rationing:
A) is a way of preserving
Q18: As the cost of capital increases:
A) fewer
Q20: Which of the following statements about the
Q21: The payback period has several disadvantages,which include:
A)
Q22: For CCA amortization,automobiles and light trucks fit
Q23: An asset just purchased,qualifies for a 20%
Q24: The Net Present Value Method is a
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