The Minimum Acceptable Rate of Return on an Investment, Often

question 102

Short Answer

The minimum acceptable rate of return on an investment, often the company's cost of capital, is called the ________.

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Definitions:

Closed Economies

Economies that do not engage in international trade, relying solely on domestic production for all of their goods and services.

Net Capital Outflow

The difference between the purchase of foreign assets by domestic citizens and the purchase of domestic assets by foreigners.

Net Exports

The surplus or deficit resulting from a country's international trade, calculated as exports minus imports.

Foreign Direct Investment

Foreign Direct Investment (FDI) involves an investment made by a firm or individual in one country into business interests located in another country.