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Concerning NPV and IRR: a. Describe how NPV is calculated and describe the information this measure provides about a sequence of cash flows. What is
Concerning NPV and IRR: a. Describe how NPV is calculated and describe the information this measure provides about a sequence of cash flows. What is the NPV criterion decision rule? b. Why is NPV considered to be a superior method of evaluating the cash flows from a project? Suppose the NPV for a project's cash flows is computed to be 2,500. What does this number represent with respect to the firm's shareholders? c. Describe how IRR is calculated and describe the information this measure provides about a sequence of cash flows. What is the IRR criterion decision rule
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