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The general rule when using the Internal Rate of Return to decide whether to invest in capital assets is to invest if the IRR
The general rule when using the Internal Rate of Return to decide whether to invest in capital assets is to invest if the IRR the hurdle rate. O is half as much as O exceeds O cannot determine from the information given. O does not exceed Question 9 Which of the following is a weakness of the internal rate of return (IRR)? O IRR assumes that the cash inflows from the project are immediately reinvested at the internal rate of return. O None of these. IRR assumes that the cash inflows from the project are immediately reinvested at the required rate of return. O IRR ignores the time value of money. If there are more than two years of positive cash flow, there may be more than one solution for IRR. 5 pts This is the indirect method OCF formula for your use. It is repeated at the top of the exam for convenience.
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