Which of the Following Best Describes the Internal Rate of Return

question 29

Multiple Choice

Which of the following best describes the internal rate of return?

• A) interest rate that makes the net present value of the investment equal to zero
• B) discount rate that is used to evaluate funds borrowed from a lender for profitability
• C) the ratio of average annual income to average amount invested
• D) the rate at which the profitability of an investment increases

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Definitions:

Pepsin

An enzyme produced in the stomach that breaks down proteins into peptides.

Peptic Ulcers

A condition characterized by sores or lesions forming on the lining of the stomach or the first part of the small intestine, typically as a result of inflammation caused by the bacteria H. pylori, or the use of nonsteroidal anti-inflammatory drugs (NSAIDs).

Chemical Digestion

The breakdown of complex food molecules into simpler ones through chemical reactions, facilitated by enzymes, in the digestive system.

Esophagus

A muscular tube that connects the throat (pharynx) with the stomach, through which food and liquids travel.