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A Project Has a Discounted Payback Period That Is Equal

Question 74

Multiple Choice

A project has a discounted payback period that is equal to the required payback period. Given this, the project: 


A) will not be acceptable under the payback rule. 
B) must have a profitability index that is equal to or greater than 1.0. 
C) must have a zero net present value. 
D) must have an internal rate of return equal to the required return. 
E) will still be acceptable if the discount rate is increased.  

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