If the NPV (Net Present Value)of a Project with Multiple

question 125

Multiple Choice

If the NPV (Net Present Value) of a project with multiple sign reversals is positive,then the project's required rate of return ________ its calculated IRR (Internal Rate of Return) .

• A)must be less than
• B)must be greater than
• C)could be greater or less than
• D)cannot be determined without actual cash flows

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