Net Present Value The investment in Project A is $1 million, and the investment in Project B

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Net Present Value The investment in Project A is $1 million, and the investment in Project B is $2 million. Both projects have a unique internal rate of return of 20 percent. Is the following statement true or false?

For any discount rate from 0 percent to 20 percent, Project B has an NPV twice as great as that of Project A.

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Corporate Finance With Connect Access Card

ISBN: 978-1259672484

10th Edition

Authors: Stephen Ross ,Randolph Westerfield ,Jeffrey Jaffe

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