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The More Realistic Reinvestment Rate Assumption, the Required Rate of Return

Question 48

Multiple Choice

The more realistic reinvestment rate assumption, the required rate of return, is implicit in the _____.


A) payback period method and the discounted payback period method
B) internal rate of return (IRR) method and the multiple internal rate of return method (MIRR)
C) multiple internal rate of return method (MIRR) and the discounted payback period method
D) discounted payback period method and the net present value (NPV) method
E) net present value (NPV) method and the multiple internal rate of return method (MIRR)

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