Question
Which of the following statements is most correct? Question 2 options: The NPV method assumes that cash flows will be reinvested at the cost of
Which of the following statements is most correct?
Question 2 options:
| The NPV method assumes that cash flows will be reinvested at the cost of capital while the IRR method assumes reinvestment at the IRR. | |
| The NPV method assumes that cash flows will be reinvested at the risk free rate while the IRR method assumes reinvestment at the IRR. | |
| The NPV method assumes that cash flows will be reinvested at the cost of capital while the IRR method assumes reinvestment at the risk-free rate. | |
| The NPV method does not consider the inflation premium. | |
| The IRR method does not consider all relevant cash flows, and particularly cash flows beyond the payback period. |
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Quantum Investing Unlocking The Secrets Of The New Financial System
Authors: Hugh Webb
1st Edition
979-8388948823
