Which of the following statements is incorrect?

All the answers are correct except one.

Capital budgeting decisions are difficult in the sense that when the costs exceed the benefits, then the project should be accepted, otherwise it should be rejected.

Any shipping expenses, labor costs to install machinery, or initial employee training costs should be also included in the initial outlay of a project.

A problem with the IRR is that there may be more than one IRR.

he beauty of the net present value is that it reports the dollar increase in shareholder wealth that would result from acceptance of a project.