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1: Under what circumstances might the IRR and NPV approaches produce conflicting results? 2: Explain why the owners of a company might choose to keep

1: Under what circumstances might the IRR and NPV approaches produce conflicting results?

2: Explain why the owners of a company might choose to keep it private?

3: Define underpricing, and explain why the majority of IPOs are underpriced. What role do investment banks play in the price-setting process?

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