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Basic Question 13 of 29
The IRR is defined as the ______.
B. difference between the cost of capital and the present value of the cash flows
C. discount rate used in the NPV method
A. discount rate that makes the NPV equal to zero
B. difference between the cost of capital and the present value of the cash flows
C. discount rate used in the NPV method
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I am using your study notes and I know of at least 5 other friends of mine who used it and passed the exam last Dec. Keep up your great work!
Barnes
Learning Outcome Statements
describe the capital allocation process, calculate net present value (NPV), internal rate of return (IRR), and return on invested capital (ROIC), and contrast their use in capital allocation
CFA® 2024 Level I Curriculum, Volume 2, Module 5.