Which of the Following Is the Rate of Return,based on Discounted

question 71

Multiple Choice

Which of the following is the rate of return,based on discounted cash flows,a company can expect to earn by investing in a capital asset?

• A) accounting rate of return
• B) bank interest rate
• C) internal rate of return
• D) return on investment

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Definitions:

Board Meetings

Gatherings of a board of directors or trustees of an organization to discuss and make decisions on the organization's affairs.

Inspect Corporate Books

The act of reviewing and examining the official records and accounts of a corporation.

Ownership

The state or fact of having legal possession and control over property, conferring rights such as use and the ability to transfer or sell it.

Corporation

A legal entity recognized by law as a separate from its owners, with its own rights, privileges, and liabilities, capable of conducting business, entering into contracts, and owning assets.