1. constant dividend
  2. constant rate
  3. maximum rate of return
  4. minimum acceptable rate of return
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Answer: Option 4

Rate of return which considers riskiness and an available returns on investments is classified as minimum acceptable rate of return. A minimum acceptable rate of return (MARR) is the minimum profit an investor expects to make from an investment, taking into account the risks of the investment and the opportunity cost of undertaking it instead of other investments.

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