D Question 11 1 pts Jean Kelly is studying towards a Business BS, Management Specialization degree from University of California at Irvine: Merage (US) and currently working as Market Risk Analyst Intern for Jefferies & Co.. Jean works with a core research team that dissects earnings releases and regulatory filings to assess relevant news events, and model financial statements and industry dynamics, perform detailed valuation work, writing research notes and sector pieces, and speaking tointernal/external clients and management teams about the stocks/sector. Jean is preparing a presentation to the local investors for a project. He found the following graph to illustrate that some decision making investment tools (criteria) may have problems. Can you help Jean to express which of the decision methods has a problem if it is used in the project selection? NPV (Millions) $2.00 NPV =-$1.6 + $10/(1+r) + (-$10)/(1+r)2 IRR24004 $0.00 100% 200% 300% 400% 500% Cost of Capital,r(%) IRR #1 = 25% -$1.00 -$2.00 . If a project's cash flows have a nonnormal pattern fi.e., the cash flows have more than one sign change), it is possible for the project to have more than one positive MIRR-that is, multiple MIRRS. If a project's cash flows have a nonnormal pattern i.e., the cash flows have more than one sign change), it is possible for the project to have more than one positive IRR-that is, multiple IRRs. If a project's cash flows have a nonnormal pattern (i.e., the cash flows have more than one sign change), it is possible for the project to have more than one positive NPV-that is, multiple NPVs. If a project's cash flows have a nonnormal pattern (i.e., the cash flows have more than one sign change), it is possible for the project to have more than one positive Profitability Index (PI)--that is, multiple Pls