Project alpha has an internal rate of return irr of 15, Ask an Expert

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Project Alpha has an internal rate of return (IRR) of 15 percent. Project Beta has an IRR of 14 percent. Both projects have a required return of 12 percent. Which of the following statements is MOST correct?

Both projects have a positive net present value (NPV).

Project Alpha must have a higher NPV than Project Beta.

Project Beta has a higher profitability index than Project Alpha.

If the required return were less than 12 percent, Project Beta would have a higher IRR than Project Alpha.

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Financial Management, Finance

Category:- Financial Management
Reference No.:- M91383364

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