Solved

An Investment Has the Following Cash Flows 9.5%9.5 \% ? Why or Why Not?


A)yes; Because the Be

Question 51

Multiple Choice

An investment has the following cash flows. Should the project be accepted if it has been assigned a required return of 9.5%9.5 \% ? Why or why not?
 An investment has the following cash flows. Should the project be accepted if it has been assigned a required return of  9.5 \%  ? Why or why not?    A) yes; because the IRR exceeds the required return by about 0.39%. B) yes; because the IRR is less than the required return by about 3.9%. C) yes; because the IRR is positive. D) no; because the IRR exceeds the required return by about 3.9%. E) no; because the IRR is 9.89%.


A) yes; because the IRR exceeds the required return by about 0.39%.
B) yes; because the IRR is less than the required return by about 3.9%.
C) yes; because the IRR is positive.
D) no; because the IRR exceeds the required return by about 3.9%.
E) no; because the IRR is 9.89%.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions