Ix Which of the following statements related to the internal rate of return (IRR) are correer The IRR is the discount rate at which an investment's NPV equals zero. Il. An investment should be undertaken if the discount rate exceeds the IRR III. The IRR tends to be used more than not present value simply because its results are casier to IV. The IRR is the best tool available for deciding between mutually exclusive investments A L, II, and IV only B. I and II only C I and Ill only D. II and Ill only E None of the above 1 Sots Sporting Goods is expanding, and as a result expects additional operating cash flows of $26,000 a year for 4 years. This expansion requires $39,000 in new fixed assets. These assets will be worthless at the end of the project. In addition, the project requires an additional $3,000 of net working capital theoughout the life of the project, Sol expects to recover this amount at the end of the project What is the net present value of this expansion project at a 16 percent required rate of return? 521,033.33 532,409 57 C $29,416.08 D $18,477.29 E $28,288.70