Order the following investments in terms of their historic returns from highest to lowest

A)

stocks, bonds, Treasury bills
B)

Treasury bills, stocks, bonds
C)

bonds, stocks, Treasury bills
D)

bonds, Treasury bills, stocks

A

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What is the internal rate of return's assumption about how cash flows are reinvested?

A) They are reinvested at the firm's discount rate. B) They are reinvested at the required rate of return. C) They are only reinvested at the end of the project. D) They are reinvested at the project's internal rate of return.

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Indicate whether the statement is true or false

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