A Project Manager Is Using the Internal Rate of Return

question 8

Multiple Choice

A project manager is using the internal rate of return method to make the final decision on which project to undertake. Which of these four projects have the highest internal rate of return?

• A) $25,000 initial outlay with $10,000 cash inflows during the following five years
• B) $12,500 initial outlay with $10,000 cash inflows during the following five years
• C) $25,000 initial outlay with $5,000 cash inflows during the following five years
• D) $12,500 initial outlay with $5,000 cash inflows during the following five years

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Definitions:

Local Area Networks

Networks that connect computers and devices in a limited geographical area, such as a home, school, or office building, to enable communication and resource sharing.

Intranets

Private networks within an organization designed to enable employees to share information, collaborate, and streamline processes securely.

Company Network

The digital and interpersonal connections that link companies with their employees, customers, and other businesses.

Secure Connections

Secure Connections are encrypted communication paths between two or more entities, ensuring data privacy and protection against unauthorized access.