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Which of the Following Methods Assumes That Each Cash Inflow

Question 125

Multiple Choice

Which of the following methods assumes that each cash inflow is reinvested at the rate at which the present value of a project's cash inflows equal the present value of its cash outflows?


A) The net present value
B) The average rate of return
C) The ratio analysis
D) The internal rate of return
E) None of these

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