Question: Should the project be accepted using the IRR and NPV methods? WACC 9% Cost of machine 2 million Working capital needed at time 0 is

Should the project be accepted using the IRR and NPV methods? WACC 9% Cost of machine 2 million Working capital needed at time 0 is $250,000 none is recovered at the end of the project Cash flow year 1 $500,000 Cash Flow years 2 through 4 $700,000 Salvage value end of year 4 is $300,000 Yes=True No=False

a.True

b.False

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