Smitty Corp., whose required rate of return is 10%, is considering the purchase of a new piece of equipment. The internal rate of return of the project, which has a life of 8 years, is 12%. The project would have:

an accounting rate of return greater than 10%?

a payback period greater than 8 years.?

a net present value of zero.?

a net present value greater than zero.?

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