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Posted on Jul 22, 2024

An investment of $ 5 0 0 , 0 0 0 yields discounted cash flows of $ 4 5 0 , 4 6 0 .

An investment of $

500, 000

yields discounted cash flows of $

450, 460 .

Given this, which of the following statements is true?

The net present value is positive.

The internal rate of return is greater than the required rate of return.

The average rate of return is positive.

The project should be rejected.

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