In Case of a Loan Project, One Should Accept the Project

question 9

True/False

In case of a loan project, one should accept the project if the IRR is more than the cost of capital.

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Definitions:

Expert Power

The influence one possesses as a result of expertise, skills, or knowledge, which others perceive as valuable or essential.

Referent Power

A form of influence based on the leader's personal traits, where followers identify with and wish to emulate the leader.

Legitimate Power

Authority that is officially sanctioned or recognized, based on a person's position within an organizational hierarchy.

Reward Power

The ability of an individual to influence the behavior of others by controlling access to desired resources or rewards.