Which of the Following Statements Is Correct

question 111

Multiple Choice

Which of the following statements is correct?

• A) The NPV and IRR methods will only sometimes agree on whether a project enhances or harms shareholder wealth.
• B) If a project has a positive NPV, its IRR will always be less than the cost of capital.
• C) If a project has a negative NPV, its IRR will always be less than the cost of capital.
• D) There is always a conflict between NPV and IRR in the case of mutually exclusive projects.

---

Definitions:

Obedience

The act of following orders, rules, or requests from someone in authority or the societal norms.

Obedience to Authority

The tendency of individuals to comply with commands given by someone perceived as an authority figure, even if they may disagree with the orders.

Intentional Community

A planned residential community designed with a high degree of social cohesion and teamwork, sharing common values or interests.

Group Processes

The psychological and social dynamics that occur within a group setting, influencing how members interact, make decisions, and solve problems.