The Internal Rate of Return Is

question 50

Multiple Choice

The internal rate of return is:

• A)more reliable as a decision making tool than net present value whenever you are
• Considering mutually exclusive projects.
• B)equivalent to the discount rate that makes the net present value equal to one.
• C)difficult to compute without the use of either a financial calculator or a computer.
• D)dependent upon the interest rates offered in the marketplace.
• E)a better methodology than net present value when dealing with unconventional cash
• flows.

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Definitions:

Ethical Decisions

Choices made based on moral principles and values.

Objective Standards

Criteria or benchmarks that are based on facts and are impartial, allowing for consistent and unbiased assessment or decision-making.

Subjective Impacts

Effects or consequences that are based on or influenced by personal feelings, tastes, or opinions rather than external facts.

Making Ethical Decision

The process of choosing actions that are consistent with one's principles and values, often in a professional context.