Net present value and the internal rate of return approaches

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1. How does the net present value model complement the objective of maximizing shareholder wealth?

2. When is it possible for the net present value and the internal rate of return approaches to give conflicting rankings of mutually exclusive investment projects?

3. When are multiple rates of return likely to occur in an internal rate of return computation? What should be done when a multiple rate of return problem arises?

Reference no: EM131338262

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