Use the Table for the Question(s)below

question 83

Multiple Choice

Use the table for the question(s) below.
Consider the following two projects with cash flows in $:
-The internal rate of return (IRR) for project Alpha is closest to:

• A)25.0%.
• B)22.2%.
• C)24.5%.
• D)22.7%.

---

Definitions:

Informal Contract

An oral or written contract that is not under a seal or is not a contract of record. Also called simple contract.

Quasi-Contract

An obligation imposed by the law to avoid injustice, even though no true contract exists between the parties.

Duty to Mitigate Damages

The legal principle requiring a party suffering loss as a result of a breach of contract to take reasonable action to minimize the financial harm.

Breach of Contract

A violation of any of the agreed-upon terms and conditions of a legal contract.