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Commerce · Q167

Business Finance

Graduate and Post Graduate · Commerce · question 167

Q167

If a firm raises Rs. 1,00,000 by the issue of debentures at 10%, repayable after 10 years, the rate of return that equates the present value of cash inflows with the present value of cash outflows is referred to as

A.
Explicit cost
Answer
B.
Implicit cost
C.
Specific cost
D.
Future cost

Answer: Option A

Solution

Answer: Option A
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