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If a project has a net present value of $1.000 when a discount rate of 10 percent is used, what can be concluded about the rate of return of the project? The rate of return is greater than 10 percent O The cate of return is less than 10 percent O The rate of return equals 10 percent. The rate of return is zero percent O None of the above.

If a project has a net present value of $1.000 when a discount rate of 10 percent is used, what can be concluded about the rate of return of the project? The rate of return is greater than 10 percent O The cate of return is less than 10 percent O The rate of return equals 10 percent. The rate of return is zero percent O None of the above.

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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If a project has a net present value of $1.000 when a discount rate of 10 percent is used, what can be concluded about the rate of return of the project? The rate of return is greater than 10 percent O The cate of return is less than 10 percent O The rate of return equals 10 percent. The rate of return is zero percent O None of the above.
Transcribed Image Text:If a project has a net present value of $1.000 when a discount rate of 10 percent is used, what can be concluded about the rate of return of the project? The rate of return is greater than 10 percent O The cate of return is less than 10 percent O The rate of return equals 10 percent. The rate of return is zero percent O None of the above.
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