When the IRR Is Equal to the Discount Rate,the NPV

question 42

Multiple Choice

When the IRR is equal to the discount rate,the NPV is:

• A) positive.
• B) equal to zero.
• C) negative.
• D) cannot be determined without knowing the discount rate.

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Definitions:

Theory of Planned Behaviour

A psychological theory that links beliefs and behavior, suggesting that an individual's behavior is determined by their intention to perform the behavior, which is, in turn, influenced by their attitudes, subjective norms, and perceived behavioral control.

Perceived Behavioural Control

An individual's belief about how easy or difficult it will be to perform a particular behavior.

Packing Slip

A Packing Slip is a document included with a package that lists the contents of the shipment, used to inform both the sender and receiver about the package's contents without opening it.

Invoice

A listing of products or services rendered that is used when billing for that product or service.