A project with an IRR of 12.7 percent and a required return of 13 percent. B. A
ID: 2699797 • Letter: A
Question
A project with an IRR of 12.7 percent and a required return of 13 percent.
B. A project with an NPV of -$121.21.
C. A project with a PI of 1.03.
D. A project with an AAR of 13.8 percent and a required AAR of 14 percent. A project with an IRR of 12.7 percent and a required return of 13 percent. B. A project with an NPV of -$121.21. C. A project with a PI of 1.03. D. A project with an AAR of 13.8 percent and a required AAR of 14 percent.
A project with an IRR of 12.7 percent and a required return of 13 percent.
B. A project with an NPV of -$121.21.
C. A project with a PI of 1.03.
D. A project with an AAR of 13.8 percent and a required AAR of 14 percent.
Explanation / Answer
Hi,
Option C is correct as this project offres a profitability index of greater than 1.
Thanks.
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