What Is the Internal Rate of Return (IRR) of an Investment

question 63

Multiple Choice

What is the internal rate of return (IRR) of an investment that requires an initial investment of $11,000 today and pays $15,400 in one year's time?

• A) 37%
• B) 44%
• C) 43%
• D) 40%

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Definitions:

Assimilation

The process through which individuals or groups of differing ethnic heritage are absorbed into the dominant culture of a society.

Accommodation

The process of adapting or adjusting to someone or something, often to make coexistence more harmonious.

Incorporating

The process of legally declaring a body as a corporation, thereby enabling it to enjoy legal rights, incur liabilities, and conduct business.

Simple Reflexes

Basic, involuntary motor responses triggered by specific stimuli that are present from birth.