Which of the Statements Below Describes the IRR Decision Criterion

question 75

Multiple Choice

Which of the statements below describes the IRR decision criterion?

• A)The decision criterion is to accept a project if the IRR falls below the desired or required return rate.
• B)The decision criterion is to reject a project if the IRR exceeds the desired or required return rate.
• C)The decision criterion is to accept a project if the IRR exceeds the desired or required return rate.
• D)The decision criterion is to accept a project if the NPV is positive.

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Definitions:

Positively Correlated

A relationship between two variables where both variables move in tandem in the same direction.

Same Direction

Refers to variables moving in unison, either increasing or decreasing together.

NASCAR

The National Association for Stock Car Auto Racing, a sanctioning body for multiple auto-racing sports events.

Organic Produce

Refers to fruits, vegetables, grains, and other agricultural products that have been grown without the use of synthetic pesticides, fertilizers, genetically modified organisms (GMOs), sewage sludge, or ionizing radiation.