The IRR rule tells managers to invest if a​ project's IRR is greater than the cost of capital. If Acme​ Oscillators' cost of capital is​ 8%, should the company accept or reject this​ investment? ​(Select the best answer​ below.)
A. The IRR rule says that the firm should accept the investment if the IRR is less the cost of capital.​ However, in cases with multiple​ IRRs, one IRR may be greater than the cost of​ capital, while another is lower. In such a​ situation, it is not clear whether to accept or reject the project.
B. The IRR rule says that the firm should accept the investment if the IRR exceeds the cost of capital.​ However, in cases with multiple​ IRRs, one IRR may be greater than the cost of​ capital, while another is lower. In such a​ situation, it is not clear whether to accept or reject the project.
C. The IRR rule says that the firm should accept the investment if the IRR exceeds the cost of capital.​ However, in cases with multiple​ IRRs, one IRR may be greater than the cost of​ capital, while another is lower. In such a​ situation, the project should always be accepted.
D. The IRR rule says that the firm should accept the investment if the IRR exceeds the NPV.​ However, in cases with multiple​ IRRs, one IRR may be greater than the cost of​ capital, while another is lower. In such a​ situation, the project should be accepted if the NPV is greater than 0.