Question
The net present value (NPV) of a project is negative when the discount rate used is: Equal to the project's internal rate of return (IRR).
The net present value (NPV) of a project is negative when the discount rate used is:
| Equal to the project's internal rate of return (IRR). | ||
| Equal to the yield to maturity of the bonds issued to finance the project. | ||
| Greater than the project's internal rate of return (IRR). | ||
| Less than the project's internal rate of return. |
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Financial Reporting And Statement Analysis A Strategic Perspective
Authors: Clyde P. Stickney, Paul Brown
4th Edition
0030238110, 978-0030238116
