A Proposed Project Will Require an Initial Investment of $1,000,000

question 46

Multiple Choice

A proposed project will require an initial investment of $1,000,000 and will generate net operating cash inflows of $250,000 per year for five years. What is the internal rate of return?

• A) Less than 9%
• B) 11%
• C) 13%
• D) Over 15%

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Definitions:

Laws of Physics

The fundamental principles that govern the natural world, including laws related to motion, energy, force, and matter.

Reproductive Success

The passing of genes onto the next generation in a way that they too can pass on those genes.

Darwin's Idea

The theory of natural selection proposed by Charles Darwin, suggesting that species evolve over time through the process of heritable physical or behavioral traits that enhance survival and reproduction.

Lifetime

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