A firm evaluates all of its projects by applying the IRR rule. The required return for the following project is 21 percent. The IRR is _____ percent and the firm should ______ the project.
A)23.67 percent; reject
B)24.26 percent; accept
C)24.26 percent; reject
D)26.30 percent; accept
E)26.30 percent; reject

Question

A firm evaluates all of its projects by applying the IRR rule. The required return for the following project is 21 percent. The IRR is _____ percent and the firm should ______ the project. 
A)23.67 percent; reject 
B)24.26 percent; accept 
C)24.26 percent; reject 
D)26.30 percent; accept 
E)26.30 percent; reject

Quizplus · Accepted Answer

The Answer of A firm evaluates all of its projects by applying the IRR rule. The required return for the following project is 21 percent. The IRR is _____ percent and the firm should ______ the project. 
A)23.67 percent; reject 
B)24.26 percent; accept 
C)24.26 percent; reject 
D)26.30 percent; accept 
E)26.30 percent; reject

A Firm Evaluates All of Its Projects by Applying the IRR