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    B. The regular IRR is less than the cost of capital. Under this condition, the modified IRR will also be less than the regular IRR.
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    D. If the regular IRR is less than the cost of capital, then the modified IRR will be greater than the regular IRR. That situation applies in this case.
    E. The project should be accepted because the modified IRR is greater than the cost of capital.
    Answer: D
    Explanation:
    Explanation/Reference:
    Explanation:
    PV(Outflows) = -$2,000,000 - $2,000,000/1.12 = -$3,785,714.
    TV(Inflows) = $1,000,000(FVIFA(12%,4))(1.12) + $2,000,000
    = $1,000,000(4.7793)(1.12) + $2,000,000 = $7,352,816.
    1 + MIRR = [7,352,816/3,785,714]

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    1/6; MIRR = 11.7%.
    Since the MIRR is less than the cost of capital, the IRR is less than the MIRR.

    NEW QUESTION: 2



    A. Option B
    B. Option D
    C. Option A
    D. Option C
    Answer: B

    NEW QUESTION: 3
    In Microsoft Dynamics AX 2012, what is the purpose of the fill utility?
    A. To enable the automatic completion of form fields.
    B. To transfer sales tax information.
    C. To import Microsoft Excel data.
    D. To enable users to bulk-update records.
    Answer: D

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