Question
8) The IRR method determines the interest rate that would result in an NPV of 0. T/F 9) as the compound annual growth rate (CAGR)
8) The IRR method determines the interest rate that would result in an NPV of 0. T/F
9) as the compound annual growth rate (CAGR) increases, the future value of an annuity also increases, ceteris paribus. T/F
10) A positive NPV means accepting that project will increase the value of a firm, hence the owners' wealth. T/F
11) If your discount rate is less than the IRR, the calculated MIRR will be greater than the IRR. T/F
12) the regular payback method determines how quickly initial investment dollars (the initial outlay) are recovered. The method is also considered a measure of profitability. T/F
13) the NPV method expresses all cash flows in monetary units measured at time zero (today). T/F
14) discounted cash flow models focus on a project's cash inflows and outflows without regard to the time value of money? T/F
15) the values for the regular and true payback period for investments will be different when the net cash flows of the investment are represented as an annuity? T/F
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