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The internal rate of return is: Multiple Choice the discount rate that makes the net present value of a project equal to the initial cash
The internal rate of return is:
Multiple Choice
the discount rate that makes the net present value of a project equal to the initial cash outlay.
equivalent to the discount rate that makes the net present value equal to one.
tedious to compute without the use of either a financial calculator or a computer.
highly dependent upon the current interest rates offered in the marketplace.
a better methodology than net present value when dealing with unconventional cash flows.
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