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A company is contemplating an investment of $650,000 that is expected to yield a net present value of zero. Which of the following statements is
A company is contemplating an investment of $650,000 that is expected to yield a net present value of zero. Which of the following statements is true?
a)The internal rate of return of the investment is zero.
b) The investment will yield an internal rate of return equal to the required rate of return.
c)The investment will yield an accounting rate of return equal to the required rate of return.
d)The investment will result in zero profit.
e) The NPV is greater than zero.
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