Thursday
April 24, 2014

Homework Help: accounting

Posted by Tammie on Tuesday, February 12, 2008 at 12:08am.

Evaluate the following project using an IRR criterion, based on an opportunity cost of 10%: CF0 = -6,000, CF1 = +3,300, CF2 = +3,300.
A) Accept, since IRR exceeds opportunity cost.
B) Reject, since opportunity cost exceeds IRR.
C) Accept, since opportunity cost exceeds IRR.
D) Reject, since IRR exceeds opportunity cost.

Answer this Question

First Name:
School Subject:
Answer:

Related Questions

finance - Given: WACC= 12%, NPV=+1,491.39, IRR=14.87378%, your all-equity firm ...
Finance - Thompson Stores is considering a project that has the following cash ...
finance - Thompson stores is considering a project that has the following cash ...
Finance - Consider the following projects, for a firm using a discount rate of ...
Accounting - The ranking of project differs, depending on the use of IRR or NPV ...
Investing ( pease help) - Maxwell Feed & Seed is considering a project that has ...
Mathematics - Project A requires an initial outlay of $6,000,000 but will return...
Accounting - The proposed 'asset' investment for a new restaurant is $2,000,000...
Financial Management - The finance department of a large corporation has ...
finance - Sunshine Corporation is considering several long-term investments. ...

Search
Members