Question: ABCD Corp. has a project whose Internal Rate of Return (IRR) is 8.05%. Which of the following is true? Assume that the project consists of

ABCD Corp. has a project whose Internal Rate of Return (IRR) is 8.05%. Which of the following is true? Assume that the project consists of an initial investment (outflow) and subsequent earnings (inflow).

Group of answer choices

The project will have a positive NPV if the interest/discount rate is higher than 8.05%.

The project will have a negative NPV if the interest/discount rate is higher than 8.05%.

We need more information than just Internal Rate of Return (IRR) to observe whether the project will be profitable at a given interest/discount rate.

None of the above (all of the other options are incorrect).

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