A Minimum Acceptable Rate of Return for an Investment Decision

question 64

Multiple Choice

A minimum acceptable rate of return for an investment decision is called the:

• A)Internal rate of return.
• B)Average rate of return.
• C)Hurdle rate of return.
• D)Maximum rate of return.
• E)Payback rate of return.

---

Definitions:

Price of Fodder

The cost at which agricultural feed for livestock is bought or sold in the market.

Beef Cattle

Cattle specifically raised for producing beef meat, distinguished from dairy cattle which are raised for milk production.

Supply of Beef

The total amount of beef that producers are willing and able to sell at a given price level.

Equilibrium Price

The price at which the quantity of a product demanded by consumers equals the quantity supplied by producers, leading to market stability.