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- If the internal rate of return on a project exceeds its cost of obtaining the funds, it’s a good investment. Question 9 options: True FalseName two key differences between “core” and “value added” real estate investment strategiesWhat process does the net present value method use to help management determine whether a project is acceptable to a company? Options : A. It discounts net cash flows to their present value and then compares that value to the capital outlay required by the project.B. It determines the interest rate that will cause the present value of the capital expenditure to equal the present value of the expected net cash flows.C. It divides the present value of net cash flows by the initial investment to determine the profitability index of the project.D. It identifies the time period required to recover the cost of the capital investment from the net annual cash flow produced by the project.
- I was told that the NPV alpha and IRR alpha is correct. but I was also told that project alpha has a higher internal rate of return and higher and present value. Is there many mistakes, within the workout?What do you know about the mathematical value of the internal rate of return of a project under each of the following conditions? a. The annual worth of the project is greater than zero. b. The annual worth of the project is equal to zero. c. The annual worth of the project is less than zero.Determine the payback period for a proposed investment as follows
- Consider the investment project with the net cash flows as shown in the following table. What would be the value of X if the project's IRR is 23%? (a) $4,500(b)$4,750(c) $6,890(d)$6,500Let PW(A) be the present worth of investment alternative A, PW(B) be the present worth of investment alternative B, B/C(A) be the benefit-cost ratio for investment alternative A, and B/C(B) be the benefitcost ratio for investment alternative B. If PW(A) > PW(B) > $0, which of the following answers is correct? a) B/C(A) > B/C(B); b) B/C(A) > B/C(B) > 1.0; c) B/C(A) > 1.0 and B/C(B) > 1.0; d) insufficient information available to answerIs it important to conduct a thorough investment analysis before accepting to undertake and agricultural project? YES or NO. Provide motivation for your answer.