What Will Be the Result of Running the Following Code

question 10

Multiple Choice

What will be the result of running the following code fragment?

• A)The code fragment will display the interest calculated for nine years.
• B)The code fragment will continue to display the calculated interest forever because the loop will never end.
• C)The code fragment will not display the calculated interest and halt abruptly.
• D)The code fragment will not display any output because it will not compile.

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Definitions:

IRR

The Internal Rate of Return, a financial metric used to evaluate the profitability of potential investments, calculated as the discount rate that makes the net present value of all cash flows equal to zero.

NPV Profiles

Graphs that show the relationship between a project's NPV and various discount rates, used to analyze the sensitivity of a project's value to changes in the cost of capital.

Crossover Rate

The rate at which the net present values of two projects are equal, often used in capital budgeting to compare projects.

Cost of Capital

The total cost of funds used for financing a business, including the cost of equity and debt.