Apart from the Net Present Value, the Internal Rate of Return (IRR) is also a popular capital
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Question:
- Apart from the Net Present Value, the Internal Rate of Return (IRR) is also a popular capital budgeting technique. Answer the following two questions:
- Explain these two terminologies: Net Present Value and Internal Rate of Return. What is the relationship between NPV and IRR?
b. What are the disadvantages and advantages of using the IRR method?
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