A CFO examines a proposed project. After a thorough analysis, the CFO determines that the project has a conservative probability of generating a NPV of $20 million, and that using a 12% required rate of return. This can be interpreted as.

Question 6 options:

1)	The project has also an IRR equal to the required rate of return

2)	The project will generate $20 million profit every year

3)	The project should increase the value of the firm by $20 million

4)	The present value of all the future net income equal to $20 million