A project with IRR = __________ just breaks even in a ﬁnancial sense.
A) 0%
B) AAR
C) the project's required return
D) 100%
E) -100%

Question

Quizplus · Accepted Answer

The Internal Rate of Return (IRR) is the discount rate that makes the net present value (NPV) of a project zero. When IRR equals the project's required return, the project breaks even financially, as it neither loses nor gains value.

A Project with IRR = __________ Just Breaks Even in a ﬁNancial