Question: 5 pts Question 10 You are considering two mutually exclusive, equally risky projects. Both have IRRs that exceed the cost of capital. Which of the

5 pts Question 10 You are considering two mutually exclusive, equally risky projects. Both have IRRs that exceed the cost of capital. Which of the following statements is TRUE? Assume that the projects have normal cash flows, with one outflow followed by a series of inflows. If the cost of capital is greater than the crossover rate, then the IRR and the NPV criteria will not result in a conflict between the projects. The same project will rank higher by both criteria. If the cost of capital is less than the crossover rate, then the IRR and the NPV criteria will not result in a conflict between the projects. The same project will rank higher by both criteria. For a conflict to exist between NPV and IRR, the initial cost of one project must exceed the cost of the other. For a conflict to exist between NPV and IRR, one project must have an increasing stream of cash flows over time while the other has a decreasing stream

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