An investment has the following cash flows. Should the project be accepted if it has been assigned a required return of 14 %? Why or why not?

Year	Cash Flow
0	-$30,000
1	8,400
2	13,900
3	18,600

Multiple Choice

• No; The IRR is less than the required return by about 0.97 %.

• Yes; The IRR is less than the required return by about 1.08 %.

• Yes; The IRR exceeds the required return by about 1.08 %.

• Yes; The IRR is less than the required return by about 0.97 %

• No; The IRR exceeds the required return by about 1.08 %.