Shoring Company is considering a project with an internal rate of return of 14.5%. Shoring requires a minimum rate of return of 12%. The net present value of the project is

Question

Quizplus · Accepted Answer

Since the internal rate of return of the project is greater than the minimum required rate of return, the project is expected to generate positive net cash flows. Therefore, the net present value of the project is positive.

Shoring Company Is Considering a Project with an Internal Rate