Which of the following can be deduced about a three-year investment project that has a two-year payback period?
A) Both the NPV is positive and the IRR is greater than the cost of capital can be deduced.
B) the IRR is greater than the cost of capital.
C) Neither the NPV is positive nor the IRR is greater than the cost of capital can be deduced.
D) the NPV is positive.
Answer: C) Neither the NPV is positive nor the IRR is greater than the cost of capital can be deduced.
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Assume that you purchased Quicksilver's stock at the closing price on December 31, 2004 and sold it at the closing price on December 30, 2005. Your realized annual return for the year 2005 is closest to ________
Consider the following price and dividend data for Quicksilver Inc.: Date Price ($) Dividend ($) December 31, 2004 $14.87 January 26, 2005 $13.79 $0.14 April 28, 2005 $9.14 $0.14 July 29, 2005 $10.74 $0.14 October 28, 2005 $8.02 $0.14 December 30, 2005 $7.72 A) -47.4% B) -45.1% C) -42.9% D) -40.6%