If the Net Present Value of the Investment Is $8,510

question 40

Multiple Choice

If the net present value of the investment is $8,510, then:

• A)the rate of return is less than the cost of capital.
• B)the present value of the cash flows is greater than the required investment.
• C)the cost of capital is higher than the internal rate of return.
• D)the present value of the cash flows is $8,510 less than the investment.

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