The Internal Rate of Return for a Project Will Increase

question 13

Multiple Choice

The internal rate of return for a project will increase if:

• A) the initial cost of the project can be reduced.
• B) the total amount of the cash inflows is reduced.
• C) each cash inflow is moved such that it occurs one year later than originally projected.
• D) the required rate of return is reduced.

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Definitions:

Democrats

A major political party in the United States, known for its liberal policies, emphasizing social equality, environmental protection, and government intervention in the economy for social welfare.

Charles Guiteau

An American lawyer who assassinated President James A. Garfield in 1881.

James Garfield

The 20th President of the United States, serving in 1881 until his assassination later that same year.

Assassinate

To murder someone, particularly a notable individual, for political or religious reasons.