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Evaluate the Following Project Using an IRR Criterion,based on an Opportunity

Question 77

Multiple Choice

Evaluate the following project using an IRR criterion,based on an opportunity cost of 10%: C0= -6,000,C1= +3,300,C2= +3,300.


A) Accept, since IRR exceeds opportunity cost.
B) Reject, since opportunity cost exceeds IRR.
C) Accept, since opportunity cost exceeds IRR.
D) Reject, since IRR exceeds opportunity cost.

Correct Answer:

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