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A proposed project has the following cash flows. With an IRR hurdle rate of 6%, what should you do? Year 0 1 2 3 4

A proposed project has the following cash flows. With an IRR hurdle rate of 6%, what should you do?

Year 0 1 2 3 4 5 6
Cash flow -100 -2000 300 400 500 600 700

A. IRR < hurdle rate; Reject

B. IRR > hurdle rate; Accept

C. IRR > hurdle rate; Reject

D. IRR < hurdle rate; Accept

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