The IRR method is based on the assumption that projects' cash flows are reinvested at the project's risk-adjusted cost of capital.

Name: The IRR method is based on the assumption that projects' cash flows are reinvested at the project's risk-adjusted cost of capital.
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The IRR method assumes that the projects' cash flows are reinvested at the internal rate of return itself, not at the project's risk-adjusted cost of capital.

The IRR Method Is Based on the Assumption That Projects