What Is the Internal Rate of Return (IRR) of an Investment

question 39

Multiple Choice

What is the internal rate of return (IRR) of an investment that requires an initial investment of $10,000 today and pays $14,000 in one year's time?

• A) 24%
• B) 4%
• C) 14%
• D) 40%

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Definitions:

Howard Gardner

An American developmental psychologist best known for his theory of multiple intelligences, which suggests that intelligence is not a single general ability but rather multiple distinct abilities.

IQ Tests

Standardized assessments designed to measure human intelligence and cognitive abilities.

Howard Gardner

An American developmental psychologist best known for his theory of multiple intelligences, which suggests that intelligence is not a single ability but a combination of several abilities.

Verbal Skills

The ability to communicate effectively using language, including speaking, listening, reading, and writing abilities.