2 of 5 complete --16 (similar to) HW Scon ON po ou own a coal mining company and are considering opening a new mine. The mine sell will cost $16 milion to the more generate $10 million for the next 10 years. After that, the cool will run out and the site must be cleaned and data maintenance are expected to cost $1.9 million per year in perpetuity. What does the IRR rule say about what you how Hint: Connider the number of sign changes in the cash flows) Ir the cost of capital on, what does the US What does the IRR rule say about whether you should accept the opportunity? (the best choice below) A The IRR is 3.15%, so accept the opportunity 3. Reject the opportunity because the IRR is lower than the cost of capita OG Accept the opportunity because the IRR is greater than the cost of capital D. There are two IRR, so you cannot use the IRR os criterion for content 0 00 2 of 5 complete --16 (similar to) HW Scon ON po ou own a coal mining company and are considering opening a new mine. The mine sell will cost $16 milion to the more generate $10 million for the next 10 years. After that, the cool will run out and the site must be cleaned and data maintenance are expected to cost $1.9 million per year in perpetuity. What does the IRR rule say about what you how Hint: Connider the number of sign changes in the cash flows) Ir the cost of capital on, what does the US What does the IRR rule say about whether you should accept the opportunity? (the best choice below) A The IRR is 3.15%, so accept the opportunity 3. Reject the opportunity because the IRR is lower than the cost of capita OG Accept the opportunity because the IRR is greater than the cost of capital D. There are two IRR, so you cannot use the IRR os criterion for content 0 00