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NEW QUESTION: 1
The Internal Rate of Return has been calculated for an option in a Business Case. Which ONE of the following statements is true?
A. The Net Present Value is Zero.
B. The DCF Rate is Zero.
C. The DCF Rate is not known.
D. The Net Present Value is not known.
Answer: A

NEW QUESTION: 2
When examining a capital project with non-normal cash flows from the perspective of IRR, some distinct problems can arise, which of the following choices best describes the problems that can occur when examining projects with non-normal cash flows using IRR?
A. Multiple IRRs, no IRR
B. No IRR, an IRR which leads to an incorrect accept reject decision, concave MIRR profile
C. Multiple IRRs, no IRR, an IRR which leads to an incorrect accept/reject decision
D. Timing differences, project scale differences, multiple IRRs
E. Multiple IRRs, an IRR which leads to an incorrect accept/reject decision, convex MIRR profile
Answer: C
Explanation:
Explanation/Reference:
Explanation:
When examining capital projects with non-normal cash flows, three distinct problems can occur: the project can have multiple IRRs, no IRR, or the calculation can lead to the production of an IRR figure which leads to an incorrect accept/reject decision. Thus, the second choice represents the most correct answer.
"Timing differences" and "project scale differences" are two reasons for a conflict in the NPV and IRR calculations, and "MIRR profile" is a fictitious term.

NEW QUESTION: 3
A customer brings $15,000 worth of chips into a casino and plays various games. The customer redeems all the remaining chips and requests a wire transfer of the proceeds to an unrelated third party.
What are two red flags that indicate money laundering? (Choose two.)
A. Bringing $15,000 worth of chips into the casino
B. Customer redeeming all remaining chips
C. Requesting a wire transfer to an unrelated third party
D. Playing various games before cashing out
Answer: B,C