Question 25 Which of the following statements describe the potential problems associated with the internal rate of return (IRR) IRR may lead to wrong decisions for a project with normal cash flows The non normal cash flow streams may lead to multiple IRRs IRR doesnt consider time value of money Both A and B are correct

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Question 25 Which of the following statements describe the potential problems associated with the internal rate of return (IRR)? IRR may lead to wrong decisions

Question 25

Which of the following statements describe the potential problems associated with the internal rate of return (IRR)?

		IRR may lead to wrong decisions for a project with normal cash flows.
		The non-normal cash flow streams may lead to multiple IRRs.
		IRR doesnt consider time value of money.
		Both A and B are correct.

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