CIMA Exam CIMAPRO19-P02-1 Topic 4 Question 112 Discussion

Actual exam question for CIMA's CIMAPRO19-P02-1 exam

Question #: 112
Topic #: 4

[All CIMAPRO19-P02-1 Questions]

The discount rate at which the net present value (NPV) is zero is known as the

Aaccounting rate of return

Brisk adjusted discount rate

Cinternal rate of return

Dbreakeven point

Show Suggested Answer

Suggested Answer: C

by Marica at Jun 14, 2025, 06:13 PM

Limited Time Offer

25%

Off

Contribute your Thoughts:

Submit Cancel

2 days ago

B) risk adjusted discount rate makes the most sense to me. Gotta account for that risk, you know?

upvoted 0 times

...

4 days ago

I agree with Lyda. The internal rate of return is the discount rate at which NPV is zero.

upvoted 0 times

...

5 days ago

I think the answer is C) internal rate of return.

upvoted 0 times

...

7 days ago

C) internal rate of return seems like the obvious choice here. That's the discount rate that makes the NPV zero, right?

upvoted 0 times

5 days ago

Yes, you're correct! The internal rate of return is the discount rate that makes the NPV zero.

upvoted 0 times

...