Which of the Following Statements Is FALSE

question 52

Multiple Choice

Which of the following statements is FALSE?

• A)The IRR investment rule states you should turn down any investment opportunity where the IRR is less than the opportunity cost of capital.
• B)The IRR investment rule states that you should take any investment opportunity where the IRR exceeds the opportunity cost of capital.
• C)Since the IRR rule is based upon the rate at which the NPV equals zero,like the NPV decision rule,the IRR decision rule will always identify the correct investment decisions.
• D)There are situations in which multiple IRRs exist.

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Definitions:

Maintaining Privacy

The practice of protecting personal information or activities from being disclosed without consent, emphasizing individual's rights and boundaries.

Treatment Group

An experimental cohort receiving specific interventions or treatments in a research setting aimed at studying the efficacy of those interventions.

Group Culture

The shared values, norms, and practices that guide the behavior of members within a group, influencing how they interact and work together.

Heterogeneity

The quality or state of being diverse in character or content; having components or qualities that are different from each other.