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The internal rate of return is: more reliable as a decision making tool than net present value whenever you are considering mutually exclusive projects. equivalent
The internal rate of return is:
more reliable as a decision making tool than net present value whenever you are considering mutually exclusive projects.
equivalent to the discount rate that makes the net present value equal to one.
computed using a projects cash flows as the only source of inputs.
dependent on the interest rates offered in the marketplace.
a better methodology than net present value when dealing with unconventional cash flows.
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