You just calculated the Net Present Worth of your engineering project to be $99,860 using an MARR = 17%. Which of the following statements must be true? a. The actual IRR is 17%. b. The actual IRR is greater than 17%. c. The actual IRR is less than 17%. d. The actual IRR is undefined. e. There is no way to know anything about the IRR from this statement.
You just calculated the Net Present Worth of your engineering project to be $99,860 using an MARR = 17%. Which of the following statements must be true? a. The actual IRR is 17%. b. The actual IRR is greater than 17%. c. The actual IRR is less than 17%. d. The actual IRR is undefined. e. There is no way to know anything about the IRR from this statement.
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
Section: Chapter Questions
Problem 1PS
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Question
You just calculated the Net Present Worth of your engineering project to be $99,860 using an
MARR = 17%. Which of the following statements must be true?
a. The actual
b. The actual IRR is greater than 17%.
c. The actual IRR is less than 17%.
d. The actual IRR is undefined.
e. There is no way to know anything about the IRR from this statement.
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