Which the required rate of return is based on

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Problem 1: Most entities, when making an investment decision using the ARR method, will set a minimum level of return known as their Required Rate of Return (RRR).This RRR is based on:

Option 1: the entity's past performances.

Option 2: currently available returns from other investments outside the industry.

Option 3: any of the above measures can be used to set a RRR.

Option 4: industry averages.

Reference no: EM132696919

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