Difference between these two values called

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-A proposed project has normal cash flows. In other words, there is an up-front cost followed over time by a series of positive cash flows. The project's internal rate of return is 12 percent and its WACC is 10 percent. Which of the following statements is most correct?

a. The project's NPV is positive.

b. The project's MIRR is greater than 10 percent but less than 12 percent.

c. The project's payback period is greater than its discounted payback period.

d. Statements a and b are correct.

e. All of the statements above are correct.

An investment has an initial cost of $32,000 and a market value of $29,800. What is the difference between these two values called?

-Net present value

-Accounting return

-Payback value

-Profitability index

-Discounted payback

Reference no: EM133056567

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