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Which one of the following statements is CORRECT? Assume that the project being considered has normal cash flows, with one outflow followed by a series
Which one of the following statements is CORRECT? Assume that the project being considered has normal cash flows, with one outflow followed by a series of inflows.
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A project's MIRR is always greater than its regular IRR.
If a project's WACC is greater than its IRR, then the MIRR is less than the IRR.
If a project's WACC is less than its IRR, then the MIRR is greater than the IRR.
To find a project's MIRR, we compound cash inflows at its WACC and then discount the terminal value back to t=0 at the MIRR.
A project's MIRR is always less than its regular IRR.
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