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Which of the following statements regarding the discount rate used in an NPV analysis of an investment is true? A . The discount rate changes
Which of the following statements regarding the discount rate used in an NPV analysis of an investment is true?
A The discount rate changes every year and increases for future periods.
B The discount rate is the actual return generated by the investment.
C The discount rate is the interest paid on funds invested in the investment.
D The discount rate must reflect the risk associated with the investment.
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