Question Answer 1. If the payback on a project is 3.2 years will the discounted payback be more or will it be less than 3.2 years? 2. If the IRR of a project is 10% will the MIRR be more or will it be...

Question

Answer

1.     If the payback on a project is 3.2 years will the discounted payback be more or will it be less than 3.2 years?

2.     If the IRR of a project is 10% will the MIRR be more or will it be less than 10%?

3.     What does Payback inform us about the risk of project?

4.     What does IRR inform us about the risk of project?