What Will Happen to the Internal Rate of Return (IRR)of

question 207

Multiple Choice

What will happen to the internal rate of return (IRR) of a project if the discount rate is decreased from 9% to 7%?

• A)IRR will always increase.
• B)The discount rate change will not affect IRR.
• C)IRR will always decrease.
• D)We cannot determine the direction of the effect on IRR from the information provided.

---

Definitions:

ECG

Electrocardiogram, a medical test that measures the electrical activity of the heart to identify various heart conditions.

Isoelectric Line

A baseline in an electrocardiogram (ECG) from which the electrical activity of the heart is measured.

Intervals

Periods or durations of time between two events or points in time, often used in reference to exercise, physiology, or musical rhythm.

ECG

Electrocardiogram: a test that records the electrical activity of the heart to show abnormal rhythms and detect heart problems.