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QUESTION 3 Which of the following statements are true? Statement 1: Multiple IRRs are possible only if the cash flows of the projects are conventional.
QUESTION 3
- Which of the following statements are true?
Statement 1: Multiple IRRs are possible only if the cash flows of the projects are conventional.
Statement 2: Projects with no sign changes in its cash flow profile have no IRR and are generally regarded to be negative NPV projects that should be rejected.
| a. | None of the above |
| b. | Statement 1 only |
| c. | Statement 2 only |
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