Which of the Following Methods Determines the Interest Rate Which

question 105

Multiple Choice

Which of the following methods determines the interest rate which equates the present value of the future cash flows with the investment outlay?

• A) Payback
• B) Accounting rate of return
• C) Internal rate of return
• D) Net present value

---

Definitions:

Latex

A natural rubber product used in a variety of medical and consumer goods, which can cause allergic reactions in some individuals.

Glomerular Filtration Rate

A test used to check how well the kidneys are filtering blood, indicative of kidney function and health.

Renal Mass

An abnormal growth in the kidney, which can be benign or malignant, and may require medical evaluation for diagnosis and treatment.

Wetting

The process of a liquid coming into contact with and adhering to the surface of a material, often referring to involuntary urination.