Which of the following statements is CORRECT?
Select one:
a. If you solve for I and get a negative number, then you must have made a mistake.
b. If you have a series of cash flows, each of which is positive, you can solve for I, where the solution value of I causes the PV of the cash flows to equal the cash flow at Time 0.
c. If you have a series of cash flows, and CF0 is negative but each of the following CFs is positive, you can solve for I, but only if the sum of the undiscounted cash flows exceeds the cost.
d. If CF0 is positive and all the other CFs are negative, then you can still solve for I.
Solution:
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