Which of the following can be deduced about a three-year investment project that has a two-year payback period?
A) the NPV is positive.
B) the IRR is greater than the cost of capital.
C) Both the NPV is positive and the IRR is greater than the cost of capital can be deduced.
D) Neither the NPV is positive nor the IRR is greater than the cost of capital can be deduced.
Correct Answer:
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