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company is trying to evaluate the following project based on IRR (Internal rate of return). Opportunity cost of capital is 10%. Which one of the

company is trying to evaluate the following project based on IRR (Internal rate of return). Opportunity cost of capital is 10%. Which one of the decisions listed below is correct?

Years Project Cash Flows
0 -6,000
1 3,300
2 3,300

a.

Accept, since opportunity cost exceeds IRR

b.

Accept, since IRR exceeds opportunity cost

c.

Reject, since opportunity cost exceeds IRR

d.

Reject, since IRR exceeds opportunity cost

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