Suppose the firm has a discount rate of $7\%,$ and it is considering a project with the cash flows in the table below.

Enter the lower IRR here, rounded to two decimal places: $\%$

Enter the higher IRR here, rounded to two decimal places: $\%$

What is it about this cash flow stream that is causing the multiple IRRs to exist?

A$.$ The cash flows change sign $($inflow to outflow or vice versa$)$ more than once.

B$.$ The cash flow stream has both inflows and outflows.

C$.$ The cash flow stream starts with an outflow.

D$.$ None of the Above

What is the NPV of this cash flow stream, rounded to two decimal places $($remember the discount rate is $7\%)?$:

What would the NPV Rule tell you to do$?$

A$.$ Do the project

B$.$ Do not do the project

What would the IRR Rule tell you to do $($you can use either IRR$)?$