Which of the Following Statements Is False

question 1

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.

Recognize the components and significance of self-monitoring in behavior modification.

Understand the use and impact of self-graphing in monitoring and modifying behaviors.

Understand the purpose and benefits of digitized supply chain management (SCM) networks.

Recognize the continued relevance of traditional tools like spreadsheets and database software in supply chain information systems (SCIS).

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Definitions:

Opportunity Cost

The value of the best alternative that is foregone when a particular decision is made.

Transfer Price

The price at which divisions of a company transact with each other, such as the trade of supplies or labor between departments.

Valve Division

A specialized department within a company that focuses on the production and sales of valve-related products.

Pump Division

A specialized section within a company focusing on producing and managing pump-related products and services.