Which of the following statements is INCORRECT a There is an opposite relationship between the NPV and the discount rate used to calculate that NPV b IRR is the discount rate that equates the present value of the cash inflows with the initial cash outlay c A project that is very sensitive to the selection of a discount rate will have a steep NPV profile d Discounted payback period ignores the time value of money and should not be used as a screening device for the selection of capital budgeting projects

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Which of the following statements is INCORRECT? a. There is an opposite relationship between the NPV and the discount rate used to calculate that NPV.

Which of the following statements is INCORRECT?

There is an opposite relationship between the NPV and the discount rate used to calculate that NPV.

IRR is the discount rate that equates the present value of the cash inflows with the initial cash outlay.

A project that is very sensitive to the selection of a discount rate will have a steep NPV profile.

Discounted payback period ignores the time value of money and should not be used as a screening device for the selection of capital budgeting projects.

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