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O LE I will ditt VTRULIU. T proje Wet TRUSCO Palda DIPUPU expected to generate the following net cash flows: Year Net Cash Flow $350,000

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O LE I will ditt VTRULIU. T proje Wet TRUSCO Palda DIPUPU expected to generate the following net cash flows: Year Net Cash Flow $350,000 $475,000 $400,000 $475,000 Whippet industries Corp has been basing capital budgeting decisions on a project's NPV; however its new CFO wants to start using the internal rate of return (IRR) method for capital budgeting decisions. The CFO says that the IRR is a better method, because percentages and returns are easier to understand and to compare to required returns, Whippet Industries Corp.'s desired rate of return is 7%. Which of the following is the IRR of the project? 4.6696 3.65% O 103.68% O 7.00% 5.80 If this is an independent project, the IRR method states that the firm should If the project's desired rate of return increased, how would that affect the IR The IRR will not change, e The IRR will increase. The IRR will decir here to search

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