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Which of the Following Are True About the Internal Rate

Question 17

Multiple Choice

Which of the following are true about the internal rate of return method?


A) The internal rate of return method measures future cash flows that are discounted at a rate that makes the net present value of the project equal or zero
B) The internal rate of return represents the interest yield promised by a project over its useful life
C) The internal rate of return is similar to the net present value method when future cash flows are discounted
D) All of these choices

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