The internal rate of return (irr): i. rule states that a typical investment project with an irr that is less than the required rate should be accepted. ii. is the rate generated solely by the cash flows of an investment. iii. is the rate that causes the net present value of a project to exactly equal zero. iv. can effectively be used to analyze all investment scenarios. i and iv only ii and iii only i, ii, and iii only ii, iii, and iv only i, ii, iii, and iv

The former chairman of the federal reserve, alan greenspan, used the term "irrational exuberance" in 1996 to describe the high levels of optimism among stock market investors at the time. stock market indexes such as the s& p composite price index were at an all-time high. some commentators believed that the fed should intervene to slow the expansion of the economy. why would central banks want to clamp down when the economy is growing? a. to block the formation of unsustainable speculative asset bubbles. b. to curtail excessive profits in the banking system. c. to prevent inflationary forces from gathering momentum. d. all of the above. e. a and c only.