Question: 2. 6.51 Explain why it is not a good practice to set the reinvestment rate on excess funds and the borrowing rate for negative NCF
2. 6.51 Explain why it is not a good practice to set the reinvestment rate on excess funds and the borrowing rate for negative NCF years equal to each other when the external rate of return (ERR) is to be determined.
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
