Answered: All else being constant, if estimated…

All else being constant, if estimated future cash flows increase, the internal rate of return will (decrease. change in an indeterminate way. remain the same. increase.

Managerial Economics: Applications, Strategies and Tactics (MindTap Course List)

14th Edition

ISBN:9781305506381

Author:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Publisher:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Chapter17: Long-term Investment Analysis

Section: Chapter Questions

Problem 10E

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Question

All else being constant, if estimated future cash flows increase, the internal rate of return will
(decrease.
change in an indeterminate way.
remain the same.
increase.

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