With regard to net present value (NPV) profiles, the point at which a profile crosses the horizontal axis is best described as:

A. the point at which two projects have the same NPV.
B. the sum of the undiscounted cash flows from a project.
C. a project’s internal rate of return when the project’s NPV is equal to zero.

Answer: C. a project’s internal rate of return when the project’s NPV is equal to zero.