What Is the Internal Rate of Return for a Project

question 13

Multiple Choice

What is the internal rate of return for a project that has an initial outlay of $65 000 and expected cash inflows of $9456 per year for eight years?

• A) 3%
• B) 3.5%
• C) 4%
• D) 6.8%

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Definitions:

Behavioral Segmentation Variable

Criteria used in market segmentation based on patterns of consumer behavior, such as purchasing habits or brand interactions, to tailor marketing strategies.

Age

A measure of the length of time that a person has lived or a thing has existed, often used as a variable in demographics and market segmentation.

Psychographic Characteristics

Attributes relating to consumers' lifestyles, interests, attitudes, values, and personality traits, used in market segmentation to understand buying behaviors.

Lifestyles

Patterns of behavior or ways of living that reflect the attitudes, values, and consumption habits of an individual or group.