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guapka [62]
2 years ago
13

Using the internal rate of return method, a conventional investment project should be accepted if the internal rate of return is

:________
Business
1 answer:
Mazyrski [523]2 years ago
3 0

Using the internal rate of return method, a conventional investment project should be accepted if the internal rate of return is equal to or greater than the discount rate.

The internal rate of return is a method of calculating the rate of return on an investment. The term internal refers to the fact that the calculation excludes external factors such as base rates, inflation, cost of capital, or financial risk. This method can be applied after the fact or before.

Internal rate of return (IRR) is a metric used in financial analysis to estimate the potential return on investment. IRR is the discount rate that drives the net present value (NPV) of all cash flows to zero in a discounted cash flow analysis. The calculation of IRR is based on the same formula as NPV.

Learn more about Internal rate brainly.com/question/13373396

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