When a Project's Internal Rate of Return Equals Its Opportunity

question 91

Multiple Choice

When a project's internal rate of return equals its opportunity cost of capital,then:

• A) the project should be rejected.
• B) the project has no cash inflows.
• C) the net present value will be positive.
• D)the net present value will be zero

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Definitions:

Group Cohesiveness

The extent to which members of a group are bonded together, resulting in a strong sense of identity, commitment, and loyalty toward the group.

Cohesiveness

The degree to which members of a group or team are united toward common goals and exhibit loyalty to the group.

Social Loafing

The tendency of individuals to exert less effort when working in a group than when working alone.

Process Loss

The inefficiency and productivity loss that occurs in team processes, often due to poor coordination, communication, or conflict among team members.