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    Business
  3. Study Set
    Accounting for Non Specialists
  4. Exam
    Exam 12: Capital Investment Decisions
  5. Question
    What Is a Problem with the Internal Rate of Return
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What Is a Problem with the Internal Rate of Return

Question 1

Question 1

Multiple Choice

What is a problem with the Internal Rate of Return method?


A) it ignores the time value of money.
B) it has difficulty handling projects with unconventional cash flows.
C) it ignores the timing of cash flows.
D) all of the above.

Correct Answer:

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