A firm with a cost of capital of 11% is evaluating 4 capital projects. The internal rate of return are as follows: Project IRR 1 13% 2 10% 3 11% 4 15% Select one: a. accept 4,a dn reject 1,2, and 3 b. accept 4,1, and 3, and reject 2. c. accept 3, and reject 1, 2, and 4. d. accept 4 and 1, and reject 2 and 3

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter11: Capital Budgeting Decisions
Section: Chapter Questions
Problem 5TP: Giorgio Co. is looking at an investment project with an internal rate of return of 10.8%. The...
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A firm with a cost of capital of 11% is evaluating 4 capital projects. The internal rate of return are as follows:

Project

IRR

1

13%

2

10%

3

11%

4

15%

Select one:
a. accept 4,a dn reject 1,2, and 3
b. accept 4,1, and 3, and reject 2.
c. accept 3, and reject 1, 2, and 4.
d. accept 4 and 1, and reject 2 and 3
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