You are comparing two mutually exclusive projects At 10 percent discount rate both projects have the same NPV Project A has an internal rate of return (IRR) of 20 percent Project B has an IRR of 15 Which of the following statements is most correct Always accept project A Accept project B if the required return in greater than 10 percent Accept both projects Reject both projects Accept Project B when the required return is less than 10 percent

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Question: You are comparing two mutually exclusive projects. At 10 percent discount rate both projects have the same NPV. Project A has an internal rate of

You are comparing two mutually exclusive projects. At 10 percent discount rate both projects have the same NPV. Project A has an internal rate of return (IRR) of 20 percent. Project B has an IRR of 15. Which of the following statements is most correct?

		Always accept project A.
		Accept project B if the required return in greater than 10 percent.
		Accept both projects.
		Reject both projects.
		Accept Project B when the required return is less than 10 percent.

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