Which statement is FALSE?
a) Managers may underestimate a project’s IRR and NPV so that they can be certain that they achieve their targets for bonuses.
b) The use of Accelerated Depreciation methods (instead of Straight-Line) results in higher operating cash flows in a projects early years.
c) For independent projects with normal cash flows, the NPV, Payback and IRR methods will always lead to the same ranking of projects from best to worst.
d) For normal projects, higher costs of capital lead to lower NPVs.