$0\mathrm{.}6$points

References

Item$3$

TB MC Qu$.09-23$ Which one of the following statements...

Which one of the following statements related to the internal rate of return $($IRR$)$ is correct?

Multiple Choice

The IRR is equal to the required return when the net present value is equal to zero.

A project with an IRR equal to the required return would reduce the value of a firm if accepted.

The average accounting return is a better method of analysis than the IRR from a financial point of view.

The IRR yields the same accept and reject decisions as the net present value method given mutually exclusive projects.

Financing type projects should be accepted if the IRR exceeds the required return.