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    Managerial Accounting Tools Study Set 1
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    Exam 12: Planning for Capital Investments
  5. Question
    If the Internal Rate of Return Is Used as the Discount
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If the Internal Rate of Return Is Used as the Discount

Question 100

Question 100

Multiple Choice

If the internal rate of return is used as the discount rate in the net present value calcula-tion, the net present value will be


A) zero.
B) positive.
C) negative.
D) undeterminable.

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