Question
Which of the following statements is CORRECT? Group of answer choices If two projects are mutually exclusive, then they are likely to have multiple IRRs.
Which of the following statements is CORRECT? Group of answer choices If two projects are mutually exclusive, then they are likely to have multiple IRRs. When evaluating independent projects, the NPV and IRR methods often yield conflicting results regarding a project's acceptability. The IRR method appeals to some managers because it gives an estimate of the rate of return on projects in contrast to the NPV method which provides a dollar amount. To find the MIRR, find the terminal value of the cash inflows and then discount the terminal value using the IRR.
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