Which of the Following Statements Is False

question 63

Multiple Choice

Which of the following statements is false?

• A) It is possible that an IRR does not exist for an investment opportunity.
• B) If the payback period is less than a pre-specified length of time you accept the project.
• C) The internal rate of return (IRR) investment rule is based upon the notion that if the return on other alternatives is greater than the return on the investment opportunity you should undertake the investment opportunity.
• D) It is possible that there is no discount rate that will set the NPV equal to zero.

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Definitions:

Employment Act

Legislation that governs the conditions of work, including employment terms, rights, and obligations.

Forty Years

A period of time equal to four decades.

Punitive Damages

Monetary compensation awarded to an injured party that exceeds simple compensation and is intended to punish the wrongdoer.

Malice

The intention or desire to do harm or evil, often used in legal contexts concerning wrongful acts.