Evaluate the following project using an IRR criterion, based on an opportunity cost of 10 percent: CF0 = -6,000, CF1 = +3,300, CF2 = +3,300.
A) Accept, since IRR exceeds opportunity cost
B) Reject, since opportunity cost exceeds IRR
C) Accept, since opportunity cost exceeds IRR
D) Reject, since IRR exceeds opportunity cost
Correct Answer:
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