UPX Material - University of Phoenix
Suppose you are using a discount rate of 10%. If you have an NPV of exactly $0, your IRR will be 10%. If your NPV is above $0, your IRR will be above 10%. If your NPV is below $0, your IRR will be below 10%. You can prove this by taking ABC’s IRR of 35.58% and using it as the discount rate in the NPV formula. ................
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