Question
Which of the following is not true? A.) The project is profitable if the Profitability Index is above 1. B.) The project with an initial
Which of the following is not true?
A.) The project is profitable if the Profitability Index is above 1.
B.) The project with an initial investment and future cash flows has a negative NPV if its discount rate is higher than the IRR.
C.) A discount rate lower than the IRR indicates that the project is unprofitable, if the project consists of an initial investment and subsequent cash inflows.
D.) The Net Present Value refers to the difference between the present value of the investment/project's costs and the value of the gains that will be made from the project.
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