[CFA level 1模拟真题]Version 1 Questions－Q37 statements, comparing, face, following, class

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Q37. In comparing the use of the IPP and NPV methods to make decisions on mutually exclusive capital projects for a specific firm, which of the following statements is least accurate?

A. The IRR method can result in multiple values.

B. The NPV rankings depend on the cost of capital.

C. The IRR method has the more appropriate reinvestment rate assumption.

D. The IRR method contains valuable information about a project's "safety margin" by comparing the IRR to the cost of capital.

 

答案和详解如下：

Q37.   C   Study Session 11-47.d,e

The reinvestment rate assumption using the IRR method is the internal rate of return on a particular capital project. The reinvestment rate assumption for the NPV method is the cost of capital for the firm, which is a more appropriate reinvestment rate assumption.

fantasy_ln

see

technet

c

yangyangda

c

LEEFEI571

c

vivian1022

b

ondesert

rere

47dx

c

ella_li

C

ssf_sunny

A