An investment is acceptable if its irr:

a. is exactly equal to its net present value (npv).

b. is exactly equal to zero.

c. is less than the required return.

d. exceeds the required return.

e. is exactly equal to 100%.

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Business

Nellie

14 April, 03:22

An investment is acceptable if its irr:

a. is exactly equal to its net present value (npv).

b. is exactly equal to zero.

c. is less than the required return.

d. exceeds the required return.

e. is exactly equal to 100%.

+1

Answers (1)

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Donovan Fuller · Answer 1

An acceptable investment is at minimum that a. is exactly equal to its net present value. However, any investor would not want to see this as he expects his investment would soar higher than the npv and gain through the years. Nonetheless, instead of losing, the minimum requirement is still equal to npv.

An investment is acceptable if its irr:a. is exactly equal to its net present value (npv).b. is exactly equal to zero.c. is less than the required return.d. exceeds the required return.e. is exactly equal to 100%.

An investment is acceptable if its irr:

a. is exactly equal to its net present value (npv).

b. is exactly equal to zero.

c. is less than the required return.

d. exceeds the required return.

e. is exactly equal to 100%.