The discount rate used in a net present value analysis is the ________. A. rate of interest earned on a savings account B. rate of inflation C. rate of interest charged for debt financing of an investment D. required rate of return or the hurdle rate
The discount rate used in a net present value analysis is the ________. A. rate of interest earned on a savings account B. rate of inflation C. rate of interest charged for debt financing of an investment D. required rate of return or the hurdle rate
Chapter11: Capital Budgeting Decisions
Section: Chapter Questions
Problem 17Q: What is the difference between the discount rate used for net present value and the internal rate of...
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The discount rate used in a net present value analysis is the ________.
rate of interest earned on a savings account
rate of inflation
rate of interest charged for debt financing of an investment
required rate of return or the hurdle rate
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