If the internal rate of return (IRR) of an investment is lower than the hurdle rate, the project should be accepted.

Name: If the internal rate of return (IRR) of an investment is lower than the hurdle rate, the project should be accepted.
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Question

Quizplus · Accepted Answer

The statement is incorrect. If the internal rate of return (IRR) of an investment is lower than the hurdle rate, the project should be rejected as it is not generating the required return to cover the cost of capital.

If the Internal Rate of Return (IRR) of an Investment