If a project's NPV is greater than zero, its IRR must be equal to the cost of capital.

Name: If a project's NPV is greater than zero, its IRR must be equal to the cost of capital.
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If a project's NPV is greater than zero, it means that the project's cash inflows are greater than its cash outflows discounted at the cost of capital. In this case, the IRR must be greater than the cost of capital.

If a Project's NPV Is Greater Than Zero, Its IRR