Which of the Following Statements Is False

question 1

Multiple Choice

Which of the following statements is false?

• A)The internal rate of return is the discount rate that results in a zero net present value for the project.
• B)The internal rate of return represents the rate of interest that results from the recovery of the investment outlay,plus a return on the investment project during its life.
• C)The internal rate of return represents the rate of interest that recovers the initial investment outlay.
• D)The internal rate of return is the discount rate that results in a zero net present value for the project.It also represents the rate of interest that results from the recovery of the investment outlay,plus a return on the investment project during its life.

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Definitions:

Output Price

The cost at which goods or services are offered for sale in the marketplace.

Graduate School

An advanced academic institution providing postgraduate education in various disciplines, leading to degrees like Master's or Doctorate.

Factor Of Production

An essential input to the production process, such as labor, capital, land, and entrepreneurship.

Marginal Productivities

The additional output that is produced by using one more unit of a particular input, ceteris paribus.