Which of the following statements is TRUE?

Question

Options

• AThe IRR of every project is based on it achieving a Net Present Value of zero.
• BIt is preferable for the calculated IRR of a project to be below bank interest rates,
• CDiscounted cash flows do not usually take into account the time value of money.
• DWhen comparing two projects, the one with the lower NPV should be preferred.

• A
  79% (15)
• B
  11% (2)
• C
  5% (1)
• D
  5% (1)

No community discussion yet for this question.