Managers prefer projects with higher IRRs to projects with lower IRRs, if all other things are equal.

Name: Managers prefer projects with higher IRRs to projects with lower IRRs, if all other things are equal.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Managers prefer projects with higher IRRs (internal rates of return) because a higher IRR implies a higher return on investment. All other things being equal, a project with a higher IRR is more attractive as it leads to greater profitability and cash flow.

Managers Prefer Projects with Higher IRRs to Projects with Lower