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A firm evaluates all of its projects by applying the IRR rule. A project under consideration has the following cash flows: Year O 1 2 3 Cash Flow -$27,900 11,900 14,900 10,900 If the required return is 18 percent, what is the IRR for this project? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Answer is complete but not entirely correct.

A firm evaluates all of its projects by applying the IRR rule. A project under consideration has the following cash flows: Year O 1 2 3 Cash Flow -$27,900 11,900 14,900 10,900 If the required return is 18 percent, what is the IRR for this project? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Answer is complete but not entirely correct.

Essentials Of Investments
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
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A firm evaluates all of its projects by applying the IRR rule. A project under consideration has the following cash flows: Year O 1 2 3 Cash Flow -$ 27,900 11,900 14,900 10,900 If the required return is 18 percent, what is the IRR for this project? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) IRR X Answer is complete but not entirely correct. 5.84 X % 2
Transcribed Image Text:A firm evaluates all of its projects by applying the IRR rule. A project under consideration has the following cash flows: Year O 1 2 3 Cash Flow -$ 27,900 11,900 14,900 10,900 If the required return is 18 percent, what is the IRR for this project? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) IRR X Answer is complete but not entirely correct. 5.84 X % 2
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