Which of the Following Statements Is Most Correct

question 43

Multiple Choice

Which of the following statements is most correct?

• A) If a project with normal cash flows has an IRR which exceeds the cost of capital, then the project must have a positive NPV.
• B) If the IRR of Project A exceeds the IRR of Project B, then Project A must also have a higher NPV.
• C) The modified internal rate of return (MIRR) can never exceed the IRR.
• D) Answers a and c are correct.
• E) None of the answers above is correct.

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Definitions:

Formula Bar

A toolbar at the top of spreadsheet software that displays the formula or function used in a selected cell.

Scaling Option

A feature that allows the adjustment of the size or resolution of an application or image to fit different display or performance requirements.

Argument

In programming and logic, an argument is a value that is passed to a function, procedure, or command.

Active Cell

In spreadsheet software, the cell in which data is entered or active at any given time, usually highlighted or indicated by a border.