Which of the Following Statements Concerning the Internal Rate of Return

question 100

Multiple Choice

Which of the following statements concerning the internal rate of return is false?

• A) The internal rate of return for a capital budgeting project is the same for all firms regardless of their cost of capital.
• B) A project is acceptable long as the project's internal rate of return is greater than the hurdle rate for the project.
• C) The internal rate of return is dependent on the timing of the cash flows.
• D) A project with a positive internal rate of return will always increase the value of the firm if the project is accepted.
• E) You do not need to know the required rate of return to solve for the internal rate of return.

---

Definitions:

Bullied

The experience of being intimidated, harassed, or abused by others, typically in a social, school, or work context.

Disclosed

Made known or revealed, often something that was previously secret or private.

Fine Motor Skills

The ability to perform detailed movements with the small muscles of the hands and fingers, such as writing or buttoning a shirt.

Kinesthetic

Related to or involving the perception of body movements and the sense of muscle movement, position, and strain.