1. Consider the MIRR and the IRR. Which of the following is true?
The reinvestment rate for the IRR is the WACC
There is always only 1 IRR
For mutually exclusive projects both the MIRR and IRR provide better recommendations than the NPV
For independent projects both the MIRR and IRR provide the same recommendations as the NPV
2. Shares of the RTD Co. common stock are currently selling for $27.73. The last dividend paid was $1.60 per share. The market rate of return is 10 percent. At what rate is the dividend growing?