IsabelAyshi
IsabelAyshi
07.07.2021 • 
Business

Which of the following is / are correct? 1. The IRR is the discount rate which equates the present value of an investment's expected costs to the present value of the expected cash inflows.
2. If the cost of capital for this investment is 9%, the investment should be rejected because its net present value will be negative.

1 only.

2 only.

Both 1 and 2.

Neither 1 nor 2.

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