Which of the following is NOT a disadvantage of the IRR method for capital budgeting? A....
Which of the following is NOT a disadvantage of the IRR method for capital budgeting?
| A. |
IRR does not provide information for project scale |
|
| B. |
May not be a single solution |
|
| C. |
May lead to wrong ranking decisions |
|
| D. |
Results are hard to interpret |
Homework Answers
Option D is correct.
Results are hard to interpret is not a disadvantage of IRR method.
But,
| A. |
IRR does not provide information for project scale |
|
| B. |
May not be a single solution |
|
| C. |
May lead to wrong ranking decisions |
|
All these are a disadvantage of IRR method.
Can you please upvote? Thank You :-)
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Which of the following is NOT a disadvantage of the IRR method
for capital budgeting?
A....
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