If a net present value analysis for a normal project gives an NPV greater than zero, an internal rate of return calculation on the same project would yield an internal rate of return ____ the firm's cost of capital.

A) greater than
B) less than
C) equal to
D) Cannot be determined from the information given

NPV Analysis

Net Present Value Analysis, a method of evaluating the profitability of an investment by calculating the difference between the present value of cash inflows and the present value of cash outflows over a period of time.

Cost of Capital

The rate of return that a company must earn on its investment projects to maintain its market value and attract funds, encompassing debt and equity.

Internal Rate

Often referred to as Internal Rate of Return (IRR), it is the discount rate that makes the net present value (NPV) of all cash flows from a particular project equal to zero.