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1. The possibility that more than one discount rate can cause the net present value of an investment to equal zero is referred to as:

1. The possibility that more than one discount rate can cause the net present value of an investment to equal zero is referred to as:

duplication.

the net present value profile.

multiple rates of return.

the AAR problem.

the dual dilemma.

2. A stock has paid dividends of $1.70, $1.85, $2.00, $2.20, and $2.50 over the past five years, respectively. What is the average capital gains yield?

8.86 percent

3.24 percent

9.45 percent

5.34 percent

10.14 percent

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