When evaluating multiple independent projects, a firm will reach the same conclusions about the acceptability of each project using either the net present value (NPV) technique or the internal rate of return (IRR) technique.

Question

Quizplus · Accepted Answer

Both NPV and IRR are methods used to evaluate the acceptability of independent projects, and typically lead to the same conclusion.

When Evaluating Multiple Independent Projects, a Firm Will Reach the Same