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      Question

      ┬аNPV is positive when:

      A IRR = Cost of capital Correct Answer Incorrect Answer
      B IRR < Cost of capital Correct Answer Incorrect Answer
      C IRR > Cost of capital Correct Answer Incorrect Answer
      D Cash inflows are equal to outflows Correct Answer Incorrect Answer

      Solution

      Explanation: A positive NPV indicates that the project earns more than the cost of capital.

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