Ask Question
BusinessBusiness
26 November, 05:05

The internal rate of return (IRR) is that discount rate that equates the present value of the cash outflows (or costs) with the present value of the cash inflows, or in other words, where the NPV is exactly zero. True Or False?

+5
Answers (1)
  1. 26 November, 08:21
    0
    True

    Explanation:

    The internal rate of return is a measurement utilised in capital planning to appraise the productivity of potential investment. The internal rate of return is a markdown rate that makes the net present worth of all incomes from a specific task equivalent to zero. If the NPV is zero the project is not feasible and if the NPV is zero or positive the investor should invest in that particular project
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “The internal rate of return (IRR) is that discount rate that equates the present value of the cash outflows (or costs) with the present ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers
You Might be Interested in
Austin Fisher contributed land, inventory, and $34,000 cash to a partnership. The land had a book value of $70,000 and a market value of $127,000. The inventory had a book value of $62,000 and a market value of $57,700.
Answers (1)
Grape Corporation purchased a machine in December of the current year. This was the only asset purchased during the current year. The machine was placed in service in January of the following year. No assets were purchased in the following year.
Answers (1)
Flynn Company's monthly bank statement showed the ending balance of cash of $18,500. The bank reconciliation for the period showed an adjustment for a deposit, in transit, of $1,500, outstanding checks of $2,000, a NSF check of $700, bank service
Answers (1)
In 1975, interest rates were 7.85 % and the rate of inflation was 12.3 % in the United States. What was the real interest rate in 1975? How would the purchasing power of your savings have changed over the year?
Answers (1)
What are the 5 largest state and local expenses? list them in older highest to lowest
Answers (1)
New Questions in Business
Whos the richeist family
Answers (1)
What type of organizational structure would a major nationwide insurance company use?
Answers (1)
What explanations have economists offered for why firms don't raise prices when doing so would seem to increase profits? Firms might not raise prices when doing so might increase profits because A.
Answers (1)
Compute ending work in process inventory for a manufacturer with the following information. Raw materials purchased ... $124,800 Direct materials used ... 74,300 Direct labor used ... 55,000 Total factory overhead ...
Answers (1)
Cole has a credit card bill of $3,100. His credit limit is $3,000. Is Cole using credit responsibly or irresponsibly? A. responsibly B. irresponsibly
Answers (1)
Home » Business » The internal rate of return (IRR) is that discount rate that equates the present value of the cash outflows (or costs) with the present value of the cash inflows, or in other words, where the NPV is exactly zero. True Or False?
Sign Up Forgot Password?