9) The internal rate of return for an investment proposal is the discount rate that equates the present value of the expected cash outflows with the present value of the expected inflows. True False 10) A project is acceptable if the required rate of return exceeds the internal rate of return. True False 11) For Stock A, Std Dev (A)=0.10 and CV=0.44; for Stock B,StdDev(B)=0.15 and CV=0.19. Therefore, Stock B has higher relative risk than Stock A. True False 12) The capital asset pricing model (CAPM) can be used to estimate the required rate of return on a security. True False 13) If the net present value of a conventional project is positive, the internal rate of return will be less than the required rate of return. True False 14) The internal rate of return approach to capital budgeting implicitly assumes that the cash flows from a project are reinvested at the project's internal rate of return. True False 15) The profitability index method used in capital budgeting analysis is preferred to net present value method if the projects are mutually exclusive. True False 16) Since they are both discounted cash-flow methods, the internal rate of return and net present value methods give identical rankings for all capital budgeting projects. True False 17) Financial managers often prefer the internal rate of return to the net present value method because it is easier for them to visualize and interprec