Select theincorrect statement concerning the internal rate of return (IRR) method of evaluating capital projects. Multiple Choice A project whose IRR is more than the cost of capital should be rejected. The higher the IRR the better. The internal rate of return is that rate that makes the net present value equal to zero. If a project has a positive net present value then its IRR will exceed the hurdle rate.

Select the incorrect statement concerning the internal rate of return (IRR) method of evaluating capital projects. Multiple Choice A project whose IRR is more than the cost of capital should be...

Select theincorrect statement concerning the internal rate of return (IRR) method of evaluating capital projects.

Multiple Choice

The internal rate of return is that rate that makes the net present value equal to zero.

If a project has a positive net present value then its IRR will exceed the hurdle rate.

Jun 09, 2022