Nichols Inc A) 943%
B) 9

question 20

Multiple Choice

Nichols Inc. is considering a project that has the following cash flow data. What is the project's IRR? Note that a project's IRR can be less than the cost of capital or negative, in both cases it will be rejected. $\begin{array}{cccccccc}\text { Year } & 0 & 1 & 2 & 3 & 4 & 5 \\\text { Cash flows }& -\$ 1250 & \$ 325 & \$ 325 & \$ 325 & \$ 325 & \$ 325\end{array}$

• A) 9.43%
• B) 9.91%
• C) 10.40%
• D) 10.92%
• E) 11.47%

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Definitions:

Milgram Experiment

A psychological experiment conducted by Stanley Milgram in the 1960s to study obedience to authority, where participants were instructed to administer electric shocks to another person.

Stanford University Prison Experiment

A psychological study conducted by Philip Zimbardo in 1971 at Stanford University, where students were assigned roles of prisoners and guards to explore the effects of perceived power.

Generalization

Drawing a conclusion about a certain characteristic of a population based on a sample from it.

Logical Support

The provision of reasons or evidence to justify a claim or argument.