We have a project with the following cash​ flows:                            0 1 2 3 4 5 Cash flows ​ -25 160 120 ​ -300 60 ​ -110   Without doing any​ NPV/IRR calculations, what can you say about how many IRRs this project might​ have? Briefly but explicitly tell me what you know about the number of​ IRRs, simply from looking at the above cash flows. Be sure to give a complete answer.       A. 5   B. Up to 3   C. 1   D. At least 5   E. Up to 5   F. At least 3   G. 3   H. At least 4   I. We​ can't tell anything about the number of IRRs without calculating them.   J. Up to 4   K. 4

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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We have a project with the following cash​ flows:
                           0 1 2 3 4 5
Cash flows ​ -25 160 120 ​ -300 60 ​ -110
 
Without doing any​ NPV/IRR calculations, what can you say about how many IRRs this project might​ have? Briefly but explicitly tell me what you know about the number of​ IRRs, simply from looking at the above cash flows. Be sure to give a complete answer.
 
 
 
A.
5
 
B.
Up to 3
 
C.
1
 
D.
At least 5
 
E.
Up to 5
 
F.
At least 3
 
G.
3
 
H.
At least 4
 
I.
We​ can't tell anything about the number of IRRs without calculating them.
 
J.
Up to 4
 
K.
4
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