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What Is the First Step of the Internal Rate-Of-Return (IRR)method

Question 37

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What is the first step of the internal rate-of-return (IRR) method?


A) Compute a sensitivity analysis.
B) Ignore the discount rate in the NPV computation.
C) Calculate the net initial investment.
D) Use a discount rate and calculate the project's NPV.
E) Calculate the payback period.

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