Which of the following statements related to the internal rate of return (IRR) is/are correct?

I. The IRR does not always yield the same accept and reject decisions as the net present value method given mutually exclusive projects.

II. An investmentproject with an IRRhigher thannet income should be accepted.

III. The IRR is equal to the required return when the net present value is equal to zero.

IV. TheAAR is a better method of analysis thanIRR from the financial point of view.